Case Study Archive: Claim Types: Fire

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Pub chip pan fire – BI and refitting claim

The Swan Public House was extensively damaged after a chip pan caught fire. The publican had never experienced destruction on this scale before and was aware of the value of using a loss assessor. So he called Morgan Clark who then took over the insurance claim on the business’s behalf.

The claim

The paperwork involved was extensive. Small print in the insurance policy meant the publican had to provide proof that he had maintained the equipment adequately. Morgan Clark was able to work with him to produce this: “It was a very stressful time and would have been more stressful had Morgan Clark not been involved.”

The results

Morgan Clark’s expertise ensured that the claim included not only the costs for refitting and redecorating the pub, but also for business interruption. This covered the loss of trade while the pub was being restored plus the cost of sourcing food from an outside supplier.

Fire in semi-detached house – overcoming challenges to buildings and contents claim

Mrs Pearce was visiting a friend when fire broke out in her semi-detached house in Lancashire. While the blaze was quickly put out, there was significant damage throughout the property.

At first Mrs Pearce thought she would be able to handle the insurance claim herself – but it very soon became clear to her that this was going to be impossible: “The next day we tried to find someone to sort the kitchen out, but I felt so tired and completely stressed that I just couldn’t do it. The chief fireman recommended talking to Morgan Clark, and when I did I realised that this was the help I needed.”

The claim

Despite the extensive damage to the house, initially the insurer did not believe there was any need for a surveyor. However Morgan Clark challenged this decision and successfully had it overturned. Specialist chartered surveyors were then brought in to ensure all damage was identified and that the house was restored properly; in addition, specialist restoration and building contractors were appointed, all working under the supervision of Morgan Clark.

The insurer then challenged the costs of the reinstatement but Morgan Clark submitted further proof that the work was needed and finally the full costs were accepted. The insurer also made harsh reductions to the contents claim for wear and tear but Morgan Clark challenged this and successfully achieved a fairer settlement for Mrs Pearce.

Other elements of the claim included emergency funding to pay for clothes and other essential items in the immediate aftermath of the fire: Morgan Clark itself made an advance payment of £2000 to help Mrs Pearce while waiting for payment to come through from the insurer. They also arranged temporary accommodation for Mrs Pearce and ensured that the costs of putting her cats into a cattery were covered by the claim.

The results

In the end, a total settlement of £77,000, covering the reinstatement of the property, contents and alternative accommodation, was agreed with the insurer. According to Mrs Pearce, “Morgan Clark made such a difference. I wouldn’t have been able to cope without them: they took everything out of my hands. I was in such a state I would have had a nervous breakdown without them.

“Using the whole Morgan Clark team of surveyors and contractors made things so much easier. It meant that, if they hadn’t been up to scratch, then I would only have needed to tell Morgan Clark and they would have dealt with it. But they were up to scratch anyway!

“I would say to anyone in a similar position to definitely use a loss assessor. Morgan Clark completely put my mind at ease. Goodness knows what it would have been like without them.”

Fire in three-bedroomed rented house – £92,000 buildings claim plus landlord’s contents and loss of income

Mr & Mrs B, who live in Surrey, own a three-bedroomed house nearby which they rent out. One afternoon they received a call from the tenants telling them the house was on fire. When they arrived 15 minutes later, the fire brigade had put the fire out but the house was almost completely destroyed.

The couple soon realised they faced a significant insurance claim. They spoke immediately to their insurers who arranged for a loss adjuster and a forensic investigator to come to the house the next morning. In the meantime, they spoke to a representative from loss assessors Morgan Clark who explained what they should expect and what they needed to do: “He was very gentle and knowledgeable and made us realise very quickly that we needed help. He explained the enormity of what we faced: the forensic investigation, dealing with the tenants, liaising with the insurance company and proving we had met our requirements as landlords.”

The following morning the loss adjuster arrived and discussed the claim with the couple and Morgan Clark’s loss assessor. This was a long and complicated discussion and at the end of it, the loss adjuster commented: “I am very glad you are in Morgan Clark’s hands.”

The claim

Morgan Clark handled the entire claims process including arranging for emergency works to put in a temporary staircase and board up windows and doors. They brought in chartered surveyors and specialist contractors to reinstate the house. As part of the reinstatement specification, the surveyor suggested a slight change to the internal layout of the house including knocking through from the kitchen to the dining room.

According to Mr B, “using Morgan Clark made dealing with the loss adjuster very easy. And having Morgan Clark, the surveyor and the contractors working as a team ensured it went very smoothly.

“But in addition there were some very difficult situations with our tenants who tried to get money out of us or the insurer: Sara Bailey from Morgan Clark dealt with them admirably.”

The results

Morgan Clark negotiated a full buildings claim of £92,000 plus £5,000 landlord’s contents. They also negotiated cover for loss of rental payments from the date of the fire until handover at completion of the reinstatement.

Mr B was delighted that he decided to use Morgan Clark: “From our point of view it was painless. We could put it to one side, knowing it was in the hands of Morgan Clark. They lifted the entire burden of managing the process. I would recommend them absolutely, particularly in the early stages when you need someone who knows the ropes. It was essential for us.”

Extensive fire damage in North Yorkshire: £250,000 insurance claim

After an electrical fault within the roof space started a fire, Mr and Mrs Hall needed to claim for extensive fire and smoke damage on their well-appointed, 4-bedroom property.

The damage to the couple’s North Yorkshire house was extensive; eight fire engines were called to the scene and it took them six hours to put out the blaze. Afterwards, the roof was completely gone. There was also extensive damage caused by smoke and water throughout the property.

The Halls made a claim on their insurance but found themselves in a situation they had never experienced before. As well as dealing with loss, the thought of dealing with the insurance claims process was “very daunting and arduous”. Faced with unfamiliar processes and not knowing where to begin, Mr and Mrs Hall turned to Morgan Clark for help with handling their large insurance claim.

The claim

Morgan Clark took over the entire insurance claim on behalf of Mr and Mrs Hall, allowing the couple to focus on other things during this difficult time.

Due to the extent of the damage, Morgan Clark appointed Bedfords, a national firm of chartered building surveyors, to compile a schedule of works on the property. This was agreed and tendered as usual. The Halls “probably would have accepted everything the insurance company told [them] to” but, thanks to Morgan Clark’s services and support, elected to take a cash settlement plus an additional settlement in relation to their contents insurance.

The results

Morgan Clark successfully negotiated a cash settlement for the damage caused by the fire, smoke and water, which was settled at circa £185,000. For the contents insurance claim, they also negotiated a second cash settlement at circa £50,000. This settlement exceeded expectations and the Halls were very happy with the outcome.

According to Mr and Mrs Hall, Morgan Clark’s services “made a huge difference to us commercially”. As well as negotiating a higher settlement, Morgan Clark took the stressful task of dealing with the insurance claim away from the Halls, allowing them to think about other things.

“Without Morgan Clark we wouldn’t have known who to go to. The initial support we received was fantastic as soon as you came to us the following day. We found Morgan Clark extremely easy to deal with and to be honest you made the process very easy for us by taking the workload completely away from us. You did it all for us and we can’t thank you enough for your commitment. We can’t think of any negative part of the service at all.”

Underinsurance on a property fire claim: A settlement increase of over £62,000

Mr Schroder experienced a fire at his home in Somerset and the thatched property suffered extensive damage. Mr Schroder faced underinsurance of 66%, which the Insurers proposed applying to the settlement of the claim based on generic figures given by the Loss Adjuster.

Mr Schroder was concerned about dealing directly with the insurance company and decided to appoint the help of a Loss Assessor to assist throughout the claims process. The following morning, he met with Loss Assessors from two different companies and chose Morgan Clark as the representative was “professional in his approach” and didn’t push him to make a quick decision.

The claim

Morgan Clark stepped in to handle the claim from that morning onwards. As well as saving Mr Schroder from the excessive costs of the recovery team sent by the insurance company, Morgan Clark liaised with the Loss Adjuster and agreed to appoint Chartered Surveyors. The surveyors put together a full schedule of works, including a detailed specification of repair and a thorough assessment of the cost to implement the repair works needed on the property. As the house was A-listed, Morgan Clark also dealt with the local Conservation Officer.

Following the initial conversations, Morgan Clark continued to negotiate with the Loss Adjuster and Insurer. During these negotiations, an agreement for underinsurance at 76% was reached for rebuilding the property, but Morgan Clark felt this figure was still too low. Under Morgan Clark’s instruction, the surveyor carried out a second survey. This detailed rebuild survey highlighted a more satisfying figure of underinsurance at 90%. After the insurance company refused to award more than 76% underinsurance, the claim was referred to the Ombudsmen for a final decision.

The results

Mr Schroder decided to accept the cash settlement at a rate of 76% underinsurance for repairs while awaiting a decision from the Ombudsman.

For 12 months, Morgan Clark continued to liaise with the Ombudsman and Ageas on behalf of Mr Schroder. A decision was eventually made in favour of Mr Schroder’s case and the underinsurance was awarded at 90% – a positive result which he “would not have been able to reach” without the help of Morgan Clark. The final claim was agreed at £22,840 for Contents and a further £320,246.05 for Repairs.

Mr Schroder says he “would not have known what to do” without Morgan Clark and “could not have achieved this result without them”.

Successful fire claim in rental property leads to further referrals

Mr Knee owns a three-bed property in County Durham, which he rents out. When a tenant accidentally set a chip pan alight and started a fire in the property, he was left facing a damaged house and a large fire insurance claim.

The fire caused extensive damage to the property, which also meant that Mr Knee was temporarily unable to let the house. This led to a loss of income from rent in addition to the costs of repairing the fire damage.

The claim

The claim was handled by Mr Knee’s business partner, Mr Mather, who rents out the Darlington property on his behalf. He contacted the Insurance Broker on behalf of Mr Knee, who recommended that he appoint a Loss Assessor due to the size of the claim.

Mr Mather, who had never heard of a Loss Assessor before, carried out some research and spoke to three different companies about their Loss Assessment services. He decided to hand the claim to Morgan Clark because he felt they were the best fit of the three and would do the best job.

Morgan Clark took over the claims process and began to make a case for Mr Knee’s property, handling all negotiations on behalf of the client. They appointed Bedfords Surveyors to prepare a reinstatement specification, which was submitted to tender to determine the cost of repairs to the property.

The results

Mr Knee eventually chose to take a cash settlement for damage and repairs, which was agreed at £76,466.14. He also received a further settlement of £4,275 for the loss of rent.

Both parties were very happy with the outcome of the claim and the assistance provided by Morgan Clark throughout the claims process. According to Mr Mather Morgan Clark’s services “made a significant difference. They maximised the claim and removed the negotiations we would need to have made with the insurance company. We wouldn’t have been able to achieve that figure without Morgan Clark on our side. Alongside this, they completely took the stress away from us and dealt with it between themselves, which is beyond helpful in a situation like this. They know how the system works and you can leave them to it. I would highly recommend Morgan Clark.”

Happy with the service provided by Morgan Clark, Mr Mather has since appointed Morgan Clark to handle other clients’ cases, including one that is still ongoing.