Effective Ways a Business Can Recover Costs after a Commercial Property Damage Disaster

8/10/2022 (Permalink)

Blog Summary: SERVPRO of Carrollton outlines cost recovery strategies for businesses affected by water damage and fire damage.

The damage restoration and mold remediation experts at SERVPRO of Carrollton understand that property damage is complicated. Often, fire damage entails extensive smoke damage. Another dimension of the disaster is the water damage from efforts to suppress or extinguish the flames. If the water and moisture issues are not immediately addressed, advanced secondary damage not directly caused by the fire can occur. A dark, wet, warm structure is a prime breeding ground for mold, so a fire, smoke, and water damage disaster also becomes a mold remediation project. A fire in a commercial environment requires a multifaceted response from the cleanup and restoration company. The damaged business also needs cost recovery strategies to cope with the catastrophe.

Cost recovery strategy: Involve a client advocate in the inspection and assessment process

One of the most important cost recovery strategies starts at the ground level of the cleanup and restoration process. It involves the damaged business’ assessment of the damage and the relationship with the insurance company. A thorough inspection of the situation and evaluation of the damage by a qualified, experienced cleanup and restoration expert who acts on behalf of the business owner is crucial. The involvement of a seasoned contractor ensures that the interests of the business are prioritized and that the assessment and estimate accurately represent the scope of the restoration project. No issues will be overlooked, and no corners will be cut. The participation of a client advocate ensures all damages are identified and restored, accurate claims are filed with the insurance company, and the claim payout covers the losses. Surprises in a restoration project can be expensive.

An industry expert explains the need for professional involvement from the very beginning of the project: “Fire damage in a commercial building sets into motion a complicated recovery cycle that can take months to complete. Assessing the damage is just the beginning, but if you don’t get that part right, the entire recovery process can become more complicated than it has to be. When you turn in a claim for your commercial property loss, your insurance company will assign a property adjuster to appraise your business property damage and eventually pay your claim. It’s important to remember that the adjuster works for the insurance company, not you. Adjusters are primarily interested in documenting damage, fire cause and origin, ruling out arson, final repair cost, and settling economically and quickly. The insurance property adjuster may be inexperienced or may not have the expertise to locate and evaluate all the areas of hidden damage. Your adjuster might not thoroughly understand what’s covered under your business policy. Adjuster inexperience can have a profound effect on your claim, but you may never know it’s a problem unless you have a knowledgeable professional working on your behalf.”

Cost recovery strategy: Identify and assess all the property damage

Make sure a trained and experienced professional documents visible, obvious damage during an initial inspection. It is understood that hidden damages may be discovered during the cleanup and restoration process. The hidden damages and unforeseen expenses may include:

• Damage to electrical components
• Increased labor and material costs
• Damage to industry-specific machinery
• Fire, smoke, and soot damage to insulation, behind walls, and in ventilation ducts
• The difficulty, success, or failure of cleaning soot and smoke from upholstery, fabric, or other porous items

The goal of this strategy is to avoid cleanup and damage restoration surprises that may negatively impact insurance claims payouts in other areas. Delays in the restoration process that lead to a longer interruption of normal operations may result in a reduced payout for loss of business income. If the delays are deemed unreasonable, then the business may not be compensated for the duration of the delay.

Cost recovery strategy: Obtain professional help to deal with insurance claims

The commercial insurance claims process is complex. Successful, swift navigation of the process requires training, expertise, and experience. Most business owners lack the knowledge and time to successfully navigate the claims process quickly and accurately. Delays cost time and unnecessarily forfeit potential revenue.

SERVPRO of Carrollton is well-acquainted with the commercial and residential insurance claims process. Highly trained and experienced staff takes care of the details from end to end, allowing the business owner to give full attention to recovery from a property damage disaster and the return to normal business operations.

For more information about commercial property damage restoration and mold removal, in Farmers Branch, TX, call SERVPRO of Carrollton at (972) 446-0383 or email the team at office@SERVPRO10952.com