Preventative Actions Taken After A Claim, From an Underwriting Perspective

Preventative actions taken after an insurance claim are implemented to mitigate immediate risks, prevent further loss, and manage risks relating to potential future claims. These actions range from identifying and implementing immediate steps to reviewing policy coverage and implementing policy and process changes to avoid future incidents. 

Immediate Risk and Loss Mitigation Actions (Post-Claim)

• Safety Measures: Take necessary and appropriate steps to ensure safety of personnel and property.
• Mitigation of Loss: The client/ insured should take reasonable steps to prevent further damage or loss consistent with applicable mitigation conditions under the relevant policy.

Operational and Safety Improvements

• Risk Assessment Reviews: For businesses, this might involve reviewing Work Health and Safety policies and processes to prevent recurrence, such as amending and improving safety protocols.
• Implementing Security Upgrades: Improve control mechanisms in the business e.g. segregation of duties, authority levels and multiple approval requirements for third party payments.
• Staff Training: For workplace claims, providing training to employees on safety procedures. 

Suggested Insurance Policy and Economical Adjustments

• Reviewing Policy Coverage: After a claim, it is crucial to re-evaluate insurance policies to determine if gaps exist and to ensure appropriate coverage levels for the future.
• Adjusting Excess: Reviewing existing excess(es) may be appropriate. While increasing the excess may lower future premiums the insured needs to be cognisant of the financial impact of accepting a higher excess.
• Updating Information: Ensuring all policy details are accurate to avoid issues with future claims. 

Suggested Administrative and Legal Actions

• Documenting Incidents: Gather comprehensive evidence immediately to prevent disputes and support future, similar notifications/claims.
• Recording ‘Near Misses’: Maintaining a register of ‘near misses’ assists to identify risks before they result in an event that might give rise to a claim.
• Seeking Expert Advice: where appropriate consider engaging solicitors, risk professionals or qualified experts to provide advice that might assist in identification and management of risks that could adversely affect the business in the future. 

These actions not only help in the current claim process but also help in maintaining a good claims history, which is crucial to assist in managing impacts on future insurance terms and premiums.

Important Notice

Berkley Insurance Company (limited company incorporated in Delaware, USA) ABN 53 126 559 706 t/as Berkley Insurance Australia is an APRA authorised general insurer. Information provided is general only, intended for brokers and has been prepared without taking into account any person’s particular objectives, financial situation or needs. Insurance cover is subject to terms, conditions, limits, and exclusions. When making a decision to buy or continue to hold a product, you should review the relevant policy documents.