Challenge

An insurer received a hefty claim for hurricane damage sustained at a Florida hotel – including $1.3 million in replacement costs and $965,000 in actual cash value, based on the assessment of the insured’s public adjuster.

Solution

The insurer enlisted specialist adjusters from Sedgwick’s contents solutions team to reassess the damages and appropriately execute the insurance contract. Our onsite inspection revealed many undamaged hotel rooms/contents and discrepancies between the original adjuster’s assessment, what was actually in each room and reasonable costs for replacement items.

Results

When the contents experts have the opportunity to get the scope right from the start, the rest of the loss can be adjusted properly and timely.

After a joint inspection, our contents solutions adjusters took an accurate inventory of the facility and identified a cost-effective source for replacing many damaged items with like-quality merchandise. Our assessment reduced the replacement costs by 70% (to $390,000) and the actual cash value of the claim by 73% (to $251,100).

On this claim, Sedgwick contents solutions:

Reduced replacement cost by

$910K

Reduced the actual cash value of the claim by

$700K