7. Insurance
Everyone enters into a move hoping that everything
will proceed smoothly and without incident, but
even with the greatest care, unexplained losses and
accidents can happen. It is essential that adequate
insurance cover is in place for the duration of
the move.
Larger organisations may have an in-house risk
manager who will be able to liaise with the FM and
confirm whether the existing policies already cover
the specific risks of the move, or that extensions
can be arranged.
If cover is not already in place, it is essential that
it be arranged through the contractor who is
carrying out the move. It should be a condition of
tender that the contractors are able to provide the
required levels of cover. The advantage is that it
will be a specialist Goods in Transit policy designed
especially to cover the risks of a move. By placing
the responsibility with the contractor, you will achieve
more of a “one-stop-shopping” position in the event
of a claim becoming necessary.
The insurance policies should cover not only the
company property being moved but also any
damage caused by the contractor to the premises
at all locations involved, the personal property and
effects of employees (unless the organisation has a
corporate policy that such items are not
covered and will remain the responsibility of the
individual owners) and also, critically, public liability
to cover possible injury to third parties or damage
to their property.
Terms and conditions
Check the terms and conditions of the policy and
ensure that any special conditions are observed
(or waived, by negotiation or by payment of
additional premium).
For example, some policies may seek to exclude
cover for property in vehicles or buildings that are
unattended (even temporarily), a risk that can easily
and unintentionally arise during a move unless strict
precautions are followed. Equally, many policies will
exclude ‘unexplained or mysterious disappearance’
where there is no evidence of break-in or theft,
but items simply cannot be found and there is no
apparent cause for their loss.
Many policies will exclude
‘unexplained or mysterious
disappearance’ where there
is no evidence of break-in or
theft.
Best Practice Guide 21