Storm and weather damage insurance: controlling the unpredictable

Storm and weather damage insurance covers a business when losses occur and Stelliant Loss Adjusting experts are appointed…

Storm and weather damage insurance covers a business when losses occur and Stelliant Loss Adjusting experts are appointed

The cost of weather damage for insurers is skyrocketing in France. In 2017, weather events cost insurers €3 billion (+13% over the previous year).1 And the trend is getting worse. Floods, for example, are expected to result in €34 billion in compensation paid out by insurers from 2014 to 2040 (versus €16 billion paid out in compensation from 1988 to 2013), an increase of 104%!2

Sources: 1Le coût des événements climatiques pour les assureurs s’est envolé en France; (French article) 2 Etude: Changement climatique et assurance à l’horizon 2040 (French article) Weather damage insurance, also known as storm insurance, is part of a specific home or multi-risk professional insurance, and has become essential. It applies when the loss was caused by a natural event, the damage from which is eligible for full compensation by insurers, unlike natural disasters, which require government assistance.

Storm insurance, key assistance for victims in distress

Weather damage is damage caused by weather events such as storms, wind, snow, hail, floods, droughts, or any other event that is likely to cause damage to a home or business operation.

When damage strikes a home, it causes anxiety and leaves a major impact on the lives of individuals. This means that, when handling cases covered by storm insurance in which the process can quickly become a burden for victims, insurers must be able to turn to responsive, thorough and empathetic loss adjusters to:

  • Survey all types of damage suffered by all victims; 
  • Identify the right solutions for each case;
  • Rapidly calculate the losses suffered, whether material (buildings, vehicles, equipment and materials, artwork, jewellery) or immaterial (including business interruptions caused by the damage);
  • Answer insurance, legal and financial questions to provide genuine support;
  • Reassure victims with controlled procedures and processes, optimised for disasters that often leave their mark.

 

In the wake of these disasters and the material and human damage they cause, Stelliant Loss Adjusting chooses a compassionate, caring response, while also seeking to put the necessary distance between themselves and the loss to ensure quality deliverables for insurance professionals.

Deploying the large-scale incident plan, a response to fit the size of the claim

When dealing with damage caused by a weather event, the main challenge is to coordinate the rollout of an action plan as quickly as possible. 

Video loss adjusting can be a crucial tool for surveying the damage and implementing emergency measures. Since it helps loss adjusters respond immediately even when access is difficult, they can determine the stakes of the claim and get an overview of the site at a given time. 

Stelliant Loss Adjusting responds quickly to storm insurance cases to examine the situation and recommend appropriate emergency measures as quickly as possible. This means, for example, developing a structured action plan to respond quickly and restore what can be restored for victims that have been shaken by weather damage.

Over the last 3 years, Stelliant Loss Adjusting has rapidly deployed its large-scale incident plan more than 20 times. In numbers, through storm insurance, that means over 50,000 cases also including the formation of crisis cells: 

  • Phone assistance available 7 days a week. 
  • Immediate mobilisation of administrative and technical teams.
  • A team of qualified loss adjusters for the type and scope of the event.
  • Meetings with insurers available 7 days a week.
  • Human and logistical resources mobilised as necessary for the scope of the event.
  • Reports planned at regular intervals.

For example, after the floods in southeastern France in late 2019, €285 million in compensation was paid out to the victims.

For Stelliant Loss Adjusting, the loss adjusting process must be carried out with the utmost respect. To that end, our loss adjusters are always looking for the best solutions, striving to find a balance between time and cost for all those involved. Pairing drone video loss adjusting with site visits, despite sometimes difficult and risky access, this approach helps to avoid, for example, costly helicopter flights, while minimising our environmental footprint.

Loss adjusters joining complementary forces to help victims

Under storm insurance, dozens of loss adjusters and multiple administrative teams can be mobilised to handle hundreds of incoming cases quickly and efficiently.
Their role: get a precise understanding of the situation with damage, environmental, high-frequency or high-stakes loss adjusters. 

We can also deploy 250 Construction loss adjusters, including 200 with certification under the French Regulatory Agreement on Insurance for Contractors (CRAC), and geotechnical engineers. All of them, in their respective fields, are building specialists. This combination of skills means that damage can be calculated with precision and the most appropriate solutions can be recommended. This could be anything from ad hoc reinforcement for weakened frames to inevitable demolition for subsequent reconstruction in accordance with the Risk Prevention Plan issued by local governments.   

Working alongside insurers through storm insurance, Stelliant Loss Adjusting’s experts act first and foremost with empathy, listening closely to policyholders. Our loss adjusters are aware that some losses are more than just material; they carry real sentimental value, sometimes encompassing personal or family history.