At WRS Insurance Brokers, we understand that charities and social enterprises play a vital role in our communities, providing essential services and support. However, navigating insurance can be complex, especially when it comes to specific situations like building works at your premises. It is essential that your organisation communicates with your insurer about scaffolding and structural changes to ensure that you remain protected.
The Charity Insurance and Social Enterprise Insurance team at WRS discusses the importance of informing your insurer and the potential risks you may face.
Why do I need to inform my insurer about scaffolding and building works?
Most insurance policies contain specific exclusions related to building works and scaffolding due to the increased risks with many insurers automatically applying an exclusion related to theft and damage.
Insurers are wary of scaffolding as it provides easier access to the upper levels of a building, making it more vulnerable to burglaries and vandalism. There’s also a higher chance of injury to employees/volunteers and the public due to falls or accidents involving the scaffolding itself. Additionally, scaffolding increases the risk of damage to the property, such as scratches or breaks in windows and walls. These factors can lead to higher liability and claims costs, which is why insurers often impose stricter conditions when scaffolding is involved.
Insurers are also cautious about building works that include structural changes as this increases risks, such as fire or water damage to the property, and security concerns, like theft or vandalism. The presence of contractors raises liability risks, and tools or materials used can cause accidents. Moreover, structural changes may affect the property’s risk profile, and standard insurance policies might not cover these alterations unless the insurer is informed and adjusts the cover.
The importance of informing your insurer about scaffolding and building works
You’ll need to tell your insurer about any changes or alterations you’re planning on making to the structure of your premises. This includes things like extending a room or doing a loft conversion. However, your insurer doesn’t need to know about cosmetic changes to the interior of your property, such as painting the walls, re-tiling the kitchen, or putting up some shelves.
Providing details about any scaffolding, including the reason for its presence, the expected duration, and the security measures in place, may also help mitigate potential exclusions.
If an incident occurs and your insurers are not notified about these changes as soon as possible, the claim may be refused outright. This can leave your organisation facing unexpected costs that can hinder its ability to operate effectively.
Possible solutions
While many insurers will have a theft and damage exclusion in place, it’s not a blanket rule. By informing your insurer and providing necessary details about the security measures you have implemented—such as surveillance systems, security personnel, or restricted access—insurers may consider waiving the exclusion.
Best practices for charitable organisations
To ensure your charity’s cover remains intact, consider the following best practices:
Notify Your Broker Promptly: If scaffolding is planned for your premises, please let your insurance broker know immediately.
Provide Detailed Information: Be ready to share specific details about any scaffolding, including its purpose, expected duration, and security measures.
Inform About Structural Changes: Notify your insurer about any structural changes, like room extensions or loft conversions, but remember that cosmetic updates do not require this attention.
Review Your Policy: Regularly review your insurance policy with your broker to understand what is covered and any exclusions that may apply.
Keep Documentation: Maintain records of communications with your broker and details about the scaffolding and building works, including photographs and descriptions of security measures.
We are committed to supporting charitable organisations and ensuring they have the protection they need. By keeping your insurer informed about scaffolding, structural changes, and any other significant developments at your premises, you can help safeguard your charity from unexpected risks and ensure that claims are processed smoothly if they are needed.
If you have any questions about your insurance policy or need guidance on how to proceed with scaffolding or building works, please don’t hesitate to contact us at 01206 760780 or email hello@wrsinsurance.co.uk.
About WRS
At WRS Insurance Brokers, we are specialists in Charity Insurance and Social Enterprise Insurance and our team is passionate about the charitable sector. As a business with a strong social conscience, we’re passionate about helping support the work of organisations that make a difference.
WRS is proudly part of the Benefact Group, a charity-owned, international family of financial services companies that gives all available profits to charity and good causes.