Business Clinic: Who’s who in the insurance claims process?

Whether you have a legal, tax, insurance, management or land issue, Farmers Weekly’s Business Clinic experts can help.

Frank McGaffney, head of agriculture and forestry at loss adjuster QuestGates, explains for A-Plan Rural Insurance the responsibilities of those in the claims process.

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Q: Over the years I’ve made a few claims for different losses (fire, escape of water, livestock) and different people have been involved. Can you explain their roles and responsibilities?

A: Where you have an actual or potential claim, report it to your broker or agent as soon as possible. Most policies require you to do this within 30 days or less, so don’t wait until renewal as this may be too late.

Your broker or agent will notify the insurance company which, will appoint one of their claims handlers to undertake an initial review of policy cover and then either process the claim in-house or, if it is over a certain value or considered complex, the handler may appoint a loss adjuster.

A loss adjuster is an independent claims expert and, although they are appointed by the insurance company, they are expected to act impartially and adhere to the Chartered Institute of Loss Adjusters’ guide to professional conduct.

Their job is to both consider if the policy covers the loss or damage and validate the amount (if any) that the policy pays out.

To do this, they will often visit a farm before issuing reports to the insurance company and will usually give policyholders advice on the best way to progress a claim, such as obtaining competitive repair quotations, and will advise on settlement options.

If the claim is out of the ordinary or particularly complex, adjusters will need additional information to make an informed view.

Some claims may require input from another expert such as a structural engineer, building surveyor or disaster restoration company.

These experts can either be introduced by the loss adjuster, or you may be asked to appoint an expert to assist with a damage assessment, and then help with the reinstatement project.

More specialist agricultural claims may require the involvement of an agronomist, vet, or valuer.

The loss adjuster will advise both you and the insurance company what experts may be required and who is responsible for any fees.

Machinery or vehicle claims

Claims involving machinery or vehicles tend to be handled by the insurance company itself.

However, it is likely to appoint an in-house or external engineer to assess the damage or undertake a valuation if the machine or vehicle is stolen or damaged beyond repair.

While your broker or agent will assist with your claim, you may choose to appoint your own representative, such as a loss assessor.

With your authority, they can liaise with the insurance company and any appointed experts to present the claim and negotiate on your behalf.

You should seek to agree their fee and terms of engagement before they start acting on your behalf.

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