In an effort to continually help our property insurance partners make the most reliable, informed decisions regarding the underwriting process, Insurance Risk Services regularly reviews, tests and implements the latest available property inspection technology to remain on the leading edge of the technology curve. This inspection technology includes a number of digital devices unheard of in the property inspection business not so long ago, including:
A professional commercial inspection of a property for insurance company purposes includes three distinct steps:
Ordering a residential inspection is an important step for insurance underwriters to take when underwriting a new homeowner's policy. It may also be called for under certain conditions for a policy renewal, especially if significant alterations have occurred to the property since its last residential inspection.
Risk, simply speaking, is the danger that an unexpected event will occur and will cause a loss. Whatever you do in life carries with it a certain amount of risk, whether it's crossing the street in traffic or buying a stock that could potentially lose value. Risk is the chance that an oncoming event may produce a financial or physical loss.
The property inspection process may be conducted in a variety of ways and may serve a number of different purposes. As a property owner, an insurance inspection may be something that causes concern, although it needn't be. Many property owners may be subject to an inspection on a regular basis, depending on their occupancy use, and often need to conform to the requirements of a number of different jurisdictions.
The property inspection business has seen some exciting technology advancements during the past two decades. Availability of rapid, wireless access to the Internet, mobile technology, microprocessing, high-resolution imaging from smart phones and affordable commercial drones are just some of the inspection technology areas making significant changes in the insurance inspection area.
Risk is a part of everyday life, and most of us do what we can to mitigate that risk when possible. This includes looking both ways before crossing the street, using seat belts or motorcycle helmets and driving safely when in our cars.
There are two major reasons why an insurance company requires a home insurance inspection:
Insurance, in its simplest terms, is the transfer of risk from a policyholder, or insured, to an insurance company, or insurer. Insurance risk is defined as the possibility of loss. Loss, in this case, can be defined as an undesirable financial outcome. While there are other types of risk and other types of loss in life that are not strictly financial, in the insurance business, it all revolves around money. It revolves around money and the risk of losing it through an unexpected event such as a house fire, an automobile accident or a sudden death. Money is pledged by the insurer in response to a covered loss and money is pledged by the insured, in the form of premium, as payment to the insurer for its willingness to accept this transfer of risk.
Conducting a residential inspection for insurance purposes has two main goals. To ensure that the policy being written accurately reflects the cost of rebuilding the property in the event that it's destroyed in a catastrophic loss, and to discover any liabilities that represent a potential danger to the property or to people visiting the property.