In this blog, we discuss matching of materials for replacement following a damages claim.
All insurance policies include clauses under one or more of the following headings:
Floor coverings; Textile & fabric awnings; Pairs; Sets; Systems and collections; Reinstatement and replacement; Dye-lots/colours/patterns & textures; Similar styles and materials; Matching of floor and wall coverings.
The intention of these clauses is to clarity that the insurer will not cover undamaged areas or additional expenses due to discontinued or unavailable colour or texture of materials. Examples include but not limited to: buildings that may have architectural features and structural materials of particular ornamental or antique character (e.g. marble) that have been discontinued. This includes local carpets, or floor or wall tiles that are no longer available.
In the event of flood damage, it is deemed unreasonable for clients to expect replacement of an entire floor space covering where only a localised area is damaged. If an insurer is unable to source suitable like or similar product material, they would be entitled to make a settlement in cash.
As exterior textile and fabric awnings (shade cloth or tarpaulin or canvas) are continually exposed to the elements, particularly wind and sun, it can be expected that the settlement will be reduced where there may be inherent ageing or visible wear and tear.
It should always be the insurer’s intention to fairly and reasonably put the insured client back into the position (cover for financial loss) they were in before the insured loss or damages arose. The insurer may elect to physically re-instate the damaged buildings by making use of their own elected contractors or they may otherwise elect to settle cash in part of full.
The intention of the above clauses is not to disenfranchise claimants but to allow for facilitation of prompt claim payments with a view to preventing drawn out and protracted settlement disputes.
Author: Brian Addison
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