Tropical Storm Idalia expected to become hurricane as it heads toward Florida

August 28, 2023

A coconut tree blowing in a heavy wind.
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Tropical Storm Idalia is strengthening quickly as it approaches the Gulf coast of Florida, where it is expected to make landfall as a major hurricane and bring storm surges, heavy rainfall, flash flooding and hurricane-force winds as early as Tuesday.

As of Monday morning, the storm was located off the western tip of Cuba with sustained winds of 65 mph. The National Hurricane Center predicts Tropical Storm Idalia will make landfall as a Category 3 hurricane with winds of 111-129 mph.

Florida’s west coast is at risk for storm surges, where up to 11 feet of ocean water could surge on shore and cause destructive flooding. Idalia is also expected to bring heavy rainfall — from 3 to 6 inches, with isolated amounts of up to 10 inches — to parts of Florida and southern Georgia. Those in the path of the storm are being warned of expected power outages, downed trees and potential damage to buildings.

We’re here to support you

In addition to providing our adjusting services, we are here to support you and your insureds through building consulting, contents and inventory solutions, forensic advisory services, engineering, temporary housing and repair solutions. If you have questions or need assistance, please contact our property team listed below.

To report claims: Contact our CAT intake center for immediate setup and assignment.

P. 800.479.9188 E. [email protected]

Flash flooding expected as Hurricane Hilary barrels toward California

August 18, 2023

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Hurricane Hilary is expected to bring significant impacts as it barrels toward the Southwest U.S. this weekend, at maximum sustained winds of 145 mph.

Hurricane Hilary started as a tropical storm off the coast of Mexico and grew rapidly into a Category 4 hurricane early Friday. It is expected to continue intensifying through Friday but will weaken as it approaches Southern California on Sunday, according to the U.S. National Hurricane Center.

The hurricane is expected to bring heavy rainfall of 3-6 inches, with isolated amounts of 10 inches, to the Southwestern U.S. through next Wednesday. There is a danger for flash flooding from San Diego to Las Vegas.

We’re here to support you

In addition to providing our adjusting services, we are here to support you and your insureds through building consulting, contents and inventory solutions, forensic advisory services, engineering, temporary housing and repair solutions. If you have questions or need assistance, please contact our property team listed below.

To report claims: Contact our CAT intake center for immediate setup and assignment.

P. 800.479.9188 E. [email protected]

Collaboration amid catastrophe: responding to disaster in New Zealand

August 3, 2023

A hurricane seen from above.
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In late January 2023, Auckland experienced record rainfall and flooding. Two weeks later, Cyclone Gabrielle hit New Zealand and was cited as the worst storm to affect the country this century. The upper North Island, Gisborne and the Hawkes Bay areas, suffered severe landslips and flooding to homes and businesses —causing the largest number of claims we’ve recorded from a single event since the Canterbury earthquakes.

Our catastrophe (CAT) response and disaster management customer care teams were quickly assembled around the country and ready to respond. Their efforts to help clients and customers were supported by exemplary colleague collaboration from across the entire business.

A collaborative approach

In the initial days following the Auckland flooding event and Cyclone Gabrielle, I was asked to help set up, train and manage a temporary team of customer care colleagues who were assigned a vast claim portfolio. The associated claims were primarily related to domestic priority property flood damage in the Auckland, Gisborne and Hawkes Bay area. I’m based in Nelson, nearly 500 km away, so this task would involve a weekly commute for myself and my colleague Katie Panteli to Auckland, which didn’t faze us.

The customer journey

Every catastrophe is different, and every customer’s circumstances and needs are unique, but the common theme is the immense loss and tragedy. No matter what type of CAT event, the response team should try standing in the customer’s shoes and ask themselves how they would feel in their position. Many people lost their homes and belongings in a sudden catastrophic event and needed our help to map a way forward.

It’s essential that we treat each customer as an individual and take time to listen to them and show empathy for their situation. We need to find out what matters most to them at that moment and do our best to respond in a way that meets their needs. This way, we create the best possible start to a positive customer journey.

Good communication is vital – answering phones, returning calls, keeping everyone updated – as is thinking outside the box to find practical solutions to customers’ problems. Being there for customers and making sure they feel fully supported throughout the entire claims process is a primary focus.

Logistical challenges

During the flooding, we had the added challenge of managing a massive volume of claims under a completely new system, which was introduced by one of our key insurer clients during the response period. The impact of this cascaded down from branch level through to every aspect of our work – from general business administration to our adjusters in the field and our claim technicians’ routines to our building consultancy team response. We all had to work together and quickly tailor our resources differently to meet our client’s specific requirements.

As part of a large global organisation, we’re fortunate to work with some incredible people around the world, and it’s amazing how everyone pulls together in a time of need. We had tremendous assistance from colleagues who flew in from Australia, South Africa, Asia and Canada, and they were trained on how we triage and capture claims information on our systems. Remote support from Australia and Ireland was another significant part of our overall response, particularly in the major and complex loss space

Solutions focussed

While many of us worked under pressure in the disaster response teams, others were left to continue managing business-as-usual claims with a reduced workforce. Day-to-day or faced with a disaster, as an organisation and across all the various hubs, field adjusters, desktop, claims technicians and our executive team are solutions focussed, and colleagues are always ready to share their resources to improve and ease the workload for others. This collaborative approach starts at the top. It doesn’t matter who you are or what your skill base is, everyone wants to create a positive outcome for our clients, customers and colleagues. This supportive spirit runs deep at Sedgwick.

Four and a half months on, I recently undertook my commute to Auckland for the last time. While the work in the area is ongoing, we are completing these claims by providing support remotely. While each disaster is different, providing an excellent level of care for our clients’ customers remains the absolute constant in our response, and I know that in striving to meet these expectations, we will always have the full support of every Sedgwick colleague.

Learn more > visit our CAT resource center 

Navigating the Atlantic hurricane season

July 18, 2023

A hurricane seen from above.
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For those living in hurricane prone areas, it’s critical to begin developing a catastrophe plan. While we can’t predict what’s coming our way, we know that the Atlantic hurricane season — running from June 1 to November 30 — will bring new challenges, and there are preparedness steps to ensure a smooth recovery. In this podcast, Jay Sitapara, regional manager, loss adjusting; Andrew McCallum, sales and client development; and Revel Boulon, senior service marine manager weigh in on the risks to consider before, during and after a hurricane and share how we help our insurance carrier clients handle the influx of claims and ensure the hundreds (potentially thousands) of people filing claims at one time are taken care of.

Typhoon Mawar pounds Guam with hurricane-force winds

May 23, 2023

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Typhoon Mawar hit Guam Wednesday, bringing with it strong winds, lightning, heavy rain and widespread power outages across the U.S. Pacific territory. Typhoon Mawar is the strongest storm to hit Guam in decades.

An extreme wind warning remains in place through Wednesday night, with expected sustained winds of over 115 mph. Winds knocked down trees and power lines Wednesday afternoon, leaving much of the 30-mile-wide island without power.

Typhoon Mawar is a tropical cyclone that developed in the northwestern Pacific, and it’s moving slowly – about 8 mph – which creates a higher probability for significant rainfall and flooding. A flash flood warning is in effect through Thursday morning, and the National Weather Service is expecting up to 25 inches of rain in some areas.

We’re here to support you In addition to providing our adjusting services, we are here to support you and your insureds through building consulting, contents and inventory solutions, forensic advisory services and engineering. If you have questions or need assistance, please contact our property team listed below.

To report claims: Contact our CAT intake center for immediate setup and assignment.
P. 800.479.9188 E. [email protected]

National Hurricane Preparedness Week

May 1, 2023

A bunch of yachts in bad shape after a hurricane.
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Recent years have produced above-average storm seasons and, at the earliest estimation, 2023 is expected to continue this trend. It’s not a matter of if, but when a catastrophe will strike. During National Hurricane Preparedness Week and throughout the year, it’s important to have a pre-loss plan in place to ensure a better post-loss experience.

When disaster strikes, getting the right catastrophe solutions to the right places quickly are essential. During a hurricane, our teams of adjusters, contractors and experts deploy at a moment’s notice to help the insured and their communities mitigate the damage and make plans to rebuild. When you have resources prepared, turnaround time is fast — leading to a more positive outcome.

If we can be of assistance to you, please contact our team at [email protected] or visit our CAT resource center.

Hurricane Ian: strategic preparation, critical response

December 14, 2022

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By Beau Bishop, SVP, catastrophe operations, Mark Della Giustina, VP, building consulting services, and John Gragson, SVP, operations

After plowing through the Caribbean, Hurricane Ian made landfall in southwest Florida on Sept. 28 as a dangerous Category 4 storm.

The catastrophic event took the lives of nearly 150 people and caused an estimated $70 billion in property damage in the U.S.; it’s likely the costliest storm in Florida’s history. Ian’s timing and trajectory caught many off guard, as predictive models had it arriving two days later and hitting further north.

As a major provider of catastrophe response services, we know that rule No. 1 with CATs is to expect the unexpected. Thanks to a winning combination of experience, preparation, expertise, flexibility and breadth and depth of resources, the Sedgwick property team was ready — in the right place at the right time — to help our insurance carrier clients handle the influx of claims associated with Hurricane Ian, and we continue to support their impacted policyholders throughout southwest Florida.

Before the storm

The services we offer are critical to the recovery of any area hit by a natural disaster. Beyond helping individual owners of homes and businesses assess the damage incurred, our adjudication of claims enables much-needed insurance payments and government grant money to flow into affected communities. This jumpstarts economic recovery, the rebuilding process and getting people back home, back to work and back to “normal.” Understanding the role we play as part of the first wave of catastrophe response makes our preparedness all the more important.

Beyond our annual readiness efforts in anticipation of Atlantic hurricane season, our targeted preparation for Ian began weeks before the expected severity of the storm made headline news. We were continually watching the weather models to gauge Ian’s magnitude, timing and direction, as well as examining the Florida footprints of our major insurer clients in the storm’s various possible paths. Throughout the weeks leading up to Ian, we were in daily contact with clients to plan for funding reserves in accordance with estimates on the resulting claims.

When it became abundantly clear in the days leading up to landfall that Ian would be a catastrophic event for the state of Florida, we had to make logistical decisions about how best to mobilize our team. These decision points require a delicate balance and the ability to adapt to changing conditions. When it comes to CATs:

  • We want to have a robust team of skilled experts nearby ahead of time to respond quickly, but also must keep our people out of harm’s way.
  • We can’t send our entire team to one area and leave the rest of the country unattended, so a staggered approach is preferable, even amid pressing needs.
  • We aim to begin assessing damage as soon as possible, but first must allow those responsible for restoring power and communication networks and conducting search and rescue/recovery to do their vital work.
  • We must be mindful of residents evacuating the target area and avoid occupying too much temporary housing in the surrounding region.

In the aftermath

Once the coast was clear, our first order of business was information-gathering. Insurer clients look to us to gain access to and inspect affected properties to help them understand the magnitude of the damage and manage their financial and service responsibilities to their policyholders. Our teams have years of experience working closely and safely with first responders, governmental authorities and others on the ground right after a catastrophe event.

In the first 30 days after a CAT, we experience a huge influx of claims. Within two days of Ian, we’d already received thousands of assignments. To ensure the right level of support to meet clients’ varying needs, we relied on our extensive resource network. In accordance with the general rule, about 80% of the claims were low-complexity and could be adjusted quickly. The remaining 20%, on the other hand, were more complex and required more time and specialized expertise. It is on these claims that we turned to various specialty teams within the Sedgwick/EFI Global family, including building consultingrepair solutionsforensic engineeringenvironmental consulting and more. With our collective in-house expertise, we are uniquely positioned to address a wide of client needs, and clients can enjoy the benefits of working with a single partner during an already hectic time.

Caring counts

Although we are in the business of property claims, our ultimate purpose is taking care of people. In the wake of a traumatic storm like Ian, one of the most important thing we deliver is empathy. Oftentimes, our adjusters and professionals are the first people owners of homes and businesses speak to about the damage they incurred and the awful things they experienced during and after a catastrophe. Beyond the technical knowledge needed for loss adjusting, we train our colleagues on the importance of listening carefully, making good on their word, following through quickly, and showing they care. They also know how to assist displaced policyholders in securing temporary housing until their homes are safely inhabitable again. The talented Sedgwick colleagues who do CAT work are on the front lines of conveying our “caring counts” philosophy.

Ian may be nearly three months behind us, but our teams are committed to being there as long as it takes to assist clients and their policyholders with whatever they may need. If we can be of assistance to you, please contact our team at [email protected].

Learn more — see our brochure for additional information on Sedgwick’s property claims solutions for the U.S. market and our flyer for details on our strategic claim resolution services for Ian-related losses

Assessing equipment and building systems damage after Hurricane Ian

November 9, 2022

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By Scott Carroll – director of client services, large complex loss, EFI Global, a Sedgwick company and Paul Gilbert – director of client relations, EFI Global, a Sedgwick company

In the aftermath of a disaster event like Hurricane Ian, organizations tend to think about damage in terms of drying carpet, removing drywall, mitigating mold, and making sure the building is structurally and environmentally safe for the rebuilt that will follow. Those immediate concerns are certainly important, but there are several other elements to these types of losses that might not be as obvious — and organizations can’t afford to overlook them.

Data center computer servers and cloud storage arrays — worth millions of dollars — could be contaminated; elevators, air handlers, pumps, security panels and fire suppression controls inside hotels and office buildings could be electrically compromised; and power systems, both inside and outside of commercial properties could have been affected as well. Waiting weeks, or even days, to assess the damage could put a great deal at risk.

Reflecting on Hurricane Ian

Many of our clients who were in the path of Hurricane Ian expressed that they expected to replace exposed equipment altogether. But what if it could be restored through professional decontamination followed by testing, repair and re-calibration instead? For instance, there may be the opportunity to remove contaminants, replace compromised assemblies and conduct diagnostic testing to ensure the equipment operates as designed. Consider imaging equipment inside a healthcare facility that experienced flooding. How the equipment was exposed is critically important. Were certain assemblies submerged? Did water sprinkle across the top of an X-ray machine from above? Depending on how water entered the room, EFI Global can determine if electrical circuitry was impacted, damaged or unaffected.

Minimizing downtime

Insurance companies and policyholders don’t always have the equipment expertise to decide when and how to restore equipment after a loss. Some instances may require that computer servers, network switches and similar equipment be replaced because they were not designed to be submerged. Other electronic assemblies may qualify for restoration, which would restore them to a pre-loss condition. With EFI Global’s guidance, customers can often get back to business quicker. Depending on the nature of the loss, we can coordinate the cleaning, testing and repair, in a shorter amount of time than it would take to purchase and replace the equipment. The difference could easily be $100,000 to restore, versus $1 million to replace.

Taking preventive measures

Organizations can plan for and take steps to avoid an impact on their business down the road. Such measures include installation of a reliable generator, incorporating adequate system redundancies, storing critical data in an offsite location, signing up for priority recovery with reputable facility and equipment recovery vendors, as well as reviewing their coverage language yearly, to ensure that they are properly insured as their companies grow.

Following a loss, there are ways to preserve and stabilize equipment, including:

  • Avoid powering on electrical or electronic equipment that may have been exposed to water.
  • Disconnect potentially exposed equipment from the utility power and turn off uninterruptible power supply (UPS) systems.
  • Engage the equipment service vendor or a professional decontamination specialist to remove water from within equipment and underneath elevated flooring.
  • Lower the relative humidity in the building to between 45% – 55% by bringing in dehumidifiers or fans as soon as possible.
  • Avoid rust by applying an inhibitor such as a moisture displacer, greaseless lubricant or cleaner and degreaser. Do not spray lubricants on electronic assemblies.
  • Place vapor phase corrosion inhibitors inside electronic control panels.

Several weeks post-Hurricane Ian, some businesses are just now starting the clean-up process. Soon, insurance companies will get quotes to replace equipment and building systems. That’s where EFI Global comes in. Our world-class equipment experts can guide you through the assessment and recovery process, to ensure equipment is properly preserved, decontaminated, tested, repaired and recalibrated to minimize equipment down time and business income loss. If equipment needs to be replaced, EFI Global will perform a market analysis to identify like, kind and quality (LKQ) replacements.

In summary, if professionals are not engaged quickly after a loss and equipment is left in a compromised state, the risk of oxidation, corrosion and rust becomes significant. This is a classic example whereby bad news doesn’t get better with time. This is also particularly true for contaminated water and condensing humidity, when pitting starts to compromised susceptible metals.

Our experts will work with the policyholders, their adjusters and all the manufacturers involved in the recovery to minimize business interruption while ensuring that warranties and service contracts, if they exist, will not be revoked. For more information about EFI Global’s equipment consulting services, contact [email protected] or [email protected].

Strategic cost advantages to accurately estimating property loss downtime

September 2, 2022

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By Laura Delpiano – VP of operations, temporary housing and Mark Della Giustina – VP specialty services, principal building consultant

After experiencing a property loss — especially during hurricane season — homeowners have difficulties finding temporary housing that doesn’t impact their normal daily routines.

The short-term crunch of finding housing in an area with widespread impact means that displaced policyholders must immediately secure temporary housing. Even in isolated claims, such as house fires, the current economic climate has made searching for temporary accommodations more challenging for customers.

Sedgwick’s temporary housing division works to help find safe, comfortable and cost-effective accommodations that will continue to meet our customers’ housing needs throughout their property claims. Having temporary housing services available to customers early on in their claim has been proven to significantly enhance the overall claim experience. With so many moving parts, temporary housing options can be greatly improved with accurate repair time estimates at the beginning of the claim.

Evaluating insurance costs

Discrepancies in initial damage evaluations and the rising cost of home repairs are resulting in higher long-term insurance costs. Repair timelines are being extended, policyholders are displaced for longer than initially planned, and there are fewer options for housing as a result.

Accurate property repair timelines are more difficult than ever to estimate because of the backlog of construction materials, market delays on supplies and labor shortages. The current growth of inflation has also intensified the cost of home buying, renting and repair — increasing the importance of strategic cost management for property insurers and their customers.

Communicating early and accurately estimating downtime helps minimize the number of moves for a policyholder, and not only improves their experience while being displaced, but also results in lower overall housing costs. For example, securing an eight-month lease at the onset of a claim will result in lower total costs than securing a month-long lease and extending monthly for eight consecutive months with higher short term rent premiums.

Acting fast with technology

Technology solutions for both the claims provider and the policyholder significantly helps speed up the claims process and get displaced families into housing sooner. With the option for all claim requests to be easily submitted and tracked through a digital platform, our teams can act fast — calling policyholders within fifteen minutes of claim submission to begin providing housing assistance.

Our customer facing portal helps policyholders choose hotel or long-term housing options quickly. With digital filters to view available properties and details, policyholders can submit their housing selections for immediate processing and get placed into housing faster. In addition, we have access to a specialized property database that tracks temporary housing leases, extension opportunities, vacate deadlines and future availabilities. These digital resources help Sedgwick offer the best temporary housing options within a quick timeframe.

Steps for policyholder and adjuster success

While many factors can impact a customer’s experience, there are steps that can be taken to improve the speed, accuracy and cost-effectiveness of temporary housing:

  • Gather information quickly – Whenever safely possible, encourage the policyholder to take photos and videos of the property and damages before vacating. Photos and videos from the scene early on can help adjusters get started quickly on assessing damage and filing a claim. Getting the claims process started faster has a ripple effect on the policyholder’s next steps, including choosing a contractor, implementing repairs and possibly moving from a hotel room to a more comfortable accommodation like a short-term rental home.
  • Plan for a longer-term stay – When managing temporary housing, empathy and collaboration are especially important. Repair timelines can be tough to estimate early in the claims process, but policyholders can be advised that sometimes repairs take longer than anticipated, and total downtime can be impacted from more than just contractor repairs. Plan for repairs to take longer than early estimates and communicate early to find long term housing options at the onset of a claim.
  • Look to the data – Years of claims data shows helpful trends in the time differences between initial lease terms for temporary housing vs. how long the displaced stayed during their claim. Sedgwick’s temporary housing team has access to this data to help estimate more accurate repair times for claims.

Whether a family needs somewhere to live while their home is being repaired or a place to stay immediately after a storm, we can help. Our team is available 24/7/365 to help claims adjusters quickly find housing options to meet the policyholder’s needs. To learn more about Sedgwick’s temporary housing solutions, read the flyer or visit our website.

Navigating the waters of yacht coverage

August 29, 2022

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By Revel Boulon, senior marine surveyor/adjuster and leader, yacht practice

While the word “yacht” may evoke images of leisure cruising and carefree living for many people, vessel owners know there is much to consider when it comes to protecting their maritime investment.

This is particularly true for those who sail to, or keep their vessels in, areas threatened by destructive storms like seasonal Atlantic hurricanes. A good-faith effort to prepare for catastrophic weather events before they happen can go a long way in helping yacht policyholders ensure coverage for storm-related losses that may incur.

The fine print

The language in yacht insurance policies providing hull and machinery coverage is notoriously specific, and adherence to policy wording is imperative. Many plans that cover vessels in zones likely to see hurricanes and other catastrophic weather patterns require approved named-windstorm plans as part of their application and include stipulations about the due diligence for which vessel owners are responsible in order to minimize losses associated with storm damage. For instance, are they prepared to quickly protect their vessel when a storm approaches by anchoring it, seeking safe harbor in a nearby marina, having the vessel hauled out and blocked, or properly manning it during the storm?

Being a prudent policyholder

In my opinion, and as is often shared with me by policyholders, some insurance carriers have unfairly earned a reputation for not covering yacht damage losses — especially those that insure higher-risk vessels or locations and therefore use the strictest policy language. However, in all my years as a marine adjuster and surveyor, I’ve found that most carriers in the yacht space want to provide a positive customer experience and help their policyholderswho act responsibly and prudently, even if vessel owners have technically violated the stipulations of their policies. This is particularly true in cases where storms have veered off the predicted course and unexpectedly hit other areas.

Here is a real-world example: Recently, the Sedgwick marine team supported a carrier client on yacht claims associated with a fast-moving, rapidly intensifying and erratic storm. This storm did not follow the course meteorologists thought it would and ended up doing the most damage outside the forecasted target area. This unpredictability left owners in the storm’s path scrambling to secure their vessels.

On behalf of the carrier, we met with the insured owners to assess the storm damage their vessels incurred and get a true representation of the protective measures they were able to take under less-than-ideal conditions. More important than uncovering that an insured didn’t follow their policy language to the letter, our client wanted to know that they acted like a “prudent uninsured” — the way they would have if they didn’t have yacht insurance and were personally responsible for any damage or loss.

Of that storm’s yacht claims we managed, the majority were approved for coverage. The carrier could have denied many more, reasonably arguing that nearly every policyholder had breached their plan language. However, they opted instead to give the benefit of the doubt to the vessel owners who showed they had acted responsibly and prudently amid unpredictable circumstances.

Policyholders can have confidence in every claim being handled on its own merit, with an eye towards prudent actions taken amid fluid circumstances leading to the loss. However, this good faith should not lead to complacency. Policyholders who are not prepared with the appropriate plans and locations on file with their carrier cannot presume that their misrepresentation will simply be overlooked due to some level of diligence in alternative preparations and securing arrangements. It is the sole responsibility of the policyholder to ensure that all information on file with their carrier provides an accurate and up-to-date representation of their true intentions regarding their vessel.

Preparing for hurricane season

The Gulf of Mexico, Florida and Caribbean regions — where much of our yacht practice is focused — are in the midst of Atlantic hurricane season. Carriers that offer yacht insurance policies, as well as the vessel owners they insure, should be planning now for what may come to those areas in the weeks ahead.

The erratic nature of the last few hurricane seasons has shown us to expect the unexpected. Despite continual improvements in weather-tracking technology, the trajectory, timing and intensity of storms seem to be harder than ever to predict. With so many variables at play, it’s not enough for carriers to advise insureds to keep their vessels out of certain areas at certain times. Before accepting a hurricane plan, a carrier must have a clear understanding of the plan details to determine their appropriateness and enforceability for the identified location and vessel. Additionally, helping insureds stay well informed leads to better preparedness and vessel protection.

Vessel owners should carefully review their yacht policies and submitted plans so they understand exactly what’s expected of them from a coverage, navigational limit, preparedness and personal loss standpoint. They should also be sure their plan information is current; people may forget to update their policies when they relocate, for example, and most yacht plans are location-specific due to varying risks. Policyholders need to have thoroughly researched named-windstorm preparedness plans — and backup plans — in place before disaster strikes so they can comply with carrier requirements, protect their vessels from storm damage, and demonstrate their diligence. It is always better to address these things before a loss occurs, rather than after the fact.

Caring counts

The Sedgwick yacht practice team is ready to take care of carrier clients and their insureds throughout hurricane season and beyond. Our marine experts are well versed in not only assessing damages, investigating claims, and reviewing policies, but also in doing the right thing for all parties and bringing a dose of empathy to difficult situations. We may specialize in property damage, but the human element of claims can never be forgotten.

Learn more — read about Sedgwick’s marine investigation.

Preparing for the next Caribbean hurricane

July 7, 2022

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By Laura De Sordi, managing director, Latin America and the Caribbean; and Roland Riviere, senior executive general adjuster

When most people think about preparing for an oncoming hurricane, they picture boarding up windows and replenishing the bottled water and non-perishable food in their home emergency kit.

For those of us who work in the Caribbean insurance market, disaster preparedness takes on a much broader meaning. We play a critical role in enabling families and businesses to rebuild following a catastrophe, and our readiness for the storm directly affects the speed with which we can inspect loss sites and adjust claims.

Seasonal predictions

Unlike earthquakes, which often strike without much warning, Atlantic hurricane season is a recurring annual event, and storm activity can be monitored and predicted to a certain extent. Long before news outlets begin reporting on the next big storm brewing at sea, insurance professionals are carefully studying weather experts’ predictive models for the upcoming hurricane season.

In May, the National Oceanic and Atmospheric Administration (U.S. NOAA) forecasted that 2022 is likely to be the seventh consecutive above-average Atlantic hurricane season, with 14-21 named storms — including between three and six category 3, 4 or 5 hurricanes — expected. The anticipated increase in storm activity is attributed to several climatic factors, including warmer sea temperatures and weaker tropical trade winds.

These forecasts help insurance professionals prepare for what may lie ahead during hurricane season. Predictions of high storm activity levels let us know that we need robust disaster recovery plans and backup technology infrastructure in place for our clients, along with well-trained loss adjusters and other catastrophe response specialists embedded throughout the region and ready to deploy at a moment’s notice.

Relationships matter

As our colleagues recently wrote on this blog, “The best way to manage unpredictability is to develop and invest in long-term partnerships today.” Preparing for hurricane season is a prime example of this philosophy.

Insurers who wait until the day after a storm hits to look for loss adjusting and other disaster recovery support will be hard-pressed to find high-quality and available resources, as nearly all service providers will already be committed to their established partners. Conversely, those who have invested in building trusted relationships with the right partners will ensure that their policyholders receive priority care when disaster strikes.

Open exchange of information

Our 25 years of experience serving the Caribbean insurance and reinsurance space have shown that the more data clients share with us in advance of a catastrophe, the more effective a response we can provide. For instance, knowing how many policies they have in various territories helps us prepare for serving those customers’ unique needs with the appropriate resources. Will we need specialists in adjusting homeowners or commercial property claims? Are policyholders concentrated in large cities or distributed across smaller towns? Do we need to be prepared for losses at special facilities, like power plants, that require particular adjusting expertise? The profile of the team we send to respond to a catastrophe depends heavily on these details, and the answers to these questions informs our ability to match the needs on the ground to the right colleagues for the job.

We have encountered some clients who are reticent to disclose such sensitive information prior to a crisis situation. Although we understand the hesitance, we cannot emphasize enough what a difference it makes to have this kind of client data (kept in high confidence, of course) before a CAT event. Caribbean hurricanes often cause widespread power outages, knocking out communication networks and technology systems. We know from experience that we can‘t rely on “business as usual” practices, workflows and data exchange once a storm hits. Clients who trust us with the relevant information in advance will reap the benefits of strategic CAT planning and a more coordinated and prompt disaster response from our team.

When it comes to laying the groundwork in our valued partnerships and ensuring we can meet clients’ needs in the Caribbean following a natural disaster, there really is no substitute for the early and open exchange of information. Let us know how we can help you prepare for the 2022 Caribbean hurricane season!

Learn more — read about Sedgwick’s major and complex loss capabilities, as well as our recovery efforts in the Bahamas following 2019’s Hurricane Dorian.

CAT response services: Ida puts Gulf Coast states on high alert

August 27, 2021

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Ida has now become a Category 1 hurricane in the Caribbean Sea and is forecast to intensify into a major hurricane in the Gulf of Mexico this weekend.

Hurricane watches are in effect from southwestern Louisiana to the Mississippi-Alabama state line, including the New Orleans metro area. Conditions in the Gulf of Mexico are conducive for rapid intensification. This was also the case with several notorious storms in recent years, including Hurricane Laura, which hit southwestern Louisiana in 2020.

The storm brings potential for wind damage, flooding and widespread power outages. There is also potential for life-threatening storm surge along the coasts of Louisiana, Mississippi and Alabama where a storm surge watch is in effect. So far this season, five named systems have reached land in the U.S., but none were hurricanes at the time of landfall.

We’re here to support you
In addition to our adjusting services, we offer building consulting, contents and inventory solutions, forensic advisory services, repair solutions and engineering to assist you and your insureds. We can also assist with high volume, low severity business interruption claims from hurricane damage through our business income express service. If you have questions or need assistance, please contact our property team listed below.

To report claims, contact our CAT intake center for immediate setup and assignment.
P. 800.479.9188 E. [email protected]

Beau Bishop, senior vice president – catastrophe operations
601.500.0221
[email protected]

Louisiana: Ronnie Adcock, senior vice president
972.620.4226
[email protected]

Mississippi: Clay Humphries, senior vice president – southeast region
615.310.3255
[email protected]

Danny Miller, executive vice president, operations
214.577.0553
[email protected]

Gail Oliver, senior vice president, sales and marketing
302.521.4985
[email protected]