Worksho/Garage Insurance.

[DaedalusParticipant @daedalus]

Hi guys,

I know that someone will have an answer to this.

Following a burglary while we were on holiday we lost a lot of small items that were easy to carry. Luckily for me they didn’t try to break into the attached garage so all of my tools were safe. Less said about the wifes jewelery the better. However having had the loss adjuster come and do a short asset list of whats left, it became obvious that we have been under insured for a long time for a lot of our items. On closer look at the workshop it needs to be covered by £10s of K’s of insurance, if its new for old, from fire or similar, I cannot see anyone making off with a 1,600kg mill or lathe. However I have no idea if there are specialist insurers who will look at this risk. The household insurance company have no understanding of whats involved. So if anyone knows who might do suitable insurance please let me know.

Many thanks all,

Daedalus.

[Simon Williams 3Participant @simonwilliams3]

Having had much the same experience courtesy of Direct Line I’ve chosen NFU Mutual as a better option.  At least they seem to be reconciled to the idea that a workshop contains tools (and chainsaws, and machinery, and tooling, and Snap On spanners and Makita stuff and… and…)

HTH Simon

[Simon Williams 3Participant @simonwilliams3]

 

 

I had an Ifor Williams trailer pinched out of a locked field.  Only a small one, but no less aggravating.  NFU made me a fair offer over the phone and we settled to our mutual satisfaction there and then.

Edited – Aha I found the edit button!

[Mike CrossfieldParticipant @mikecrossfield92481]

Walter Midgely http://www.waltermidgley.co.uk provide specialist model engineers insurance.

hth

Mike

[Mike CrossfieldParticipant @mikecrossfield92481]

Sorry, typo.

Should be Walker Midgely, not Walter Midgely. http://Www.walkermidgely. co.uk

Mike

[Michael GilliganParticipant @michaelgilligan61133]

Another satisfied NFU customer here

I have never had to claim for anything workshop-related, but all other claims have been settled promptly, fairly, and amicably.

As per Simon’s comment … they do actually seem capable of understanding what might reasonably be in a workshop !

MichaelG.

[Mike CrossfieldParticipant @mikecrossfield92481]

Oh dear, definitely having a bad day.

Should be http://Www.walkermidgley.co.uk

Mike

[Bo’sunParticipant @bosun58570]

Just side tracking a little.

What form of security do insurers generally require for a workshop full of tools?  I use the same as my insurer stipulates for the house, but that may be not be adequate.  I’ll have to enquire.

I had to laugh at myself recently.  In my workshop I have 2 mountain bikes valued at £3,500, dutifully chained and padlocked to a substantial bench.  That’s OK you might say, but there’s an angle grinder sitting on a shelf nearby.  Having said that, most of our low life probably carry a cordless angle grinder as part of their EDC.

[vic neweyParticipant @vicnewey60017]

How secure are your workshop doors though, the rules for a house require a 5 lever deadlock etc but how many have one on a garden shed or garage for e.g. Investing in a secure steel framed door might be a good idea if your workshop is easily accessible to prowlers.

[Bo’sunParticipant @bosun58570]

Hi vic,

I’m hoping that the U&O garage door with a remote opener pushing the door closed, and the original manual latches in operation (just have to remember to release them before operating the remote) will be OK.  The pedestrian door has two 5 lever mortice locks and internal bars across the lower portion, and I’m considering wired glass for the top.

The workshop is also integral with the house alarm system.

[bernard towersParticipant @bernardtowers37738]

I think we would all put a bit more effort in getting the correct insurance if we sat down for a while and started totting up replacement costs of a couple of shelves or drawers full of taps and dies and reamers!

[Robert ButlerParticipant @robertbutler92161]

I am minded of a conversation I had with an Area Director of Norwich Union (now AVIVA) a number of years ago during which I complained of the standards of service and poor product/insurance knowledge and he ruefully replied “no one want’s to pay the premiums to enable us to employ experienced staff”.

Regrettably it is an industry where there is little in the way of career progression and hence the incentive to gain experience. Salaries are low considering the responsibilities imposed by the Financial Conduct Authority. In fact if staff realised the potential penalties and compared this to the rewards on offer they would quickly find less onerous employment.

Home policies in the main are poor compared to those available 40 – 50 years ago and this is the result of competition, reducing the premums payable does not permit wide cover and frequent claims. Staff are paid from premiums received and again lower premiums reduces the money available to employ proper staff.

Members should also understand the Genepool of knowledge available to all Insurers is identical, it is therefore fortunate if you latch on to a knowledgeable “underwriter” but remember it is unlikely they will still work for the insurer for very long. It is also fair to say not many underwriters/members of the public have much if any knowledge of machinery or interest in how things are made, a change in society and how it earns its living has faced significant upheaval over the last 50 years.

Robert Butler

 

 

 

[Robert Atkinson 2Participant @robertatkinson2]

I’ve not looked at this for some time but doubt the situation has changed much. The problem I found was that the underwriters only wanted to deal with New for Old policies. This of course means the premium is based on replacement value. Most of my equipment is electronic test equipment. It’s all very well being able to pick-up a used spectrum analyser for say £500 but when the original list price was was £15,000 and the current “replacement” from the same manufacturer is over £20,000 and it is portable the insurance companies  start to get nervous. Then you add in a bit of aircraft test equipment that I paid £30 for at a Ramco auction mainly for the Storm Case (pelicase) it was in that is actually a current production item with a list price of over £60,000 (its a nice capacitance meter but for testing fuel gauges) and a Rhode and Schwarz Radio test set that cost less than -£600 (£84 for two on ebay sold one for £750 less fees etc) with a list price of the replacement being over £84,000 depending on options I’d be paying a premium based on a notional insured value of millions of pounds. Premiums and conditions reflect that and are un-tenable.

The one exception I found, but again not recently, was NFU and insurance for my small gas turbine (jet) engines. These were small aviation units either auxillary power units, ground power units or thrust engines for military drones. I had six at one time and other oweners and I would exhibit them at air / motor shows. Anyone with any sense running a engine that could eject lumps of red hot metal at high velocity with little warning in a public venue will want at least liability insurance (reading that makes me think having sense and collecting turbines are contraindicated). Initally a few of us had cover under a slightly vauge “group” policy for liability only. The person who orgainsed that left so I look for something else. Bing with NFU for the land rover I called them. Te lady who answered the phone said “that will be under our bvintage tractor department, I’ll transfer you”… Sure enough it was and they were happy to cover my engines fully comprehensive including public liabilty and a fixed value for total loss of £1000 each for less then £30 each per year. Only requirement was they had to be over 25 years old. That was proven by the serial number plate.
Which reminds me I am getting close to running the one turbine I currently own (GTCP36-150) so will have to call them and see what cover costs now.

Robert.

[Bo’sunParticipant @bosun58570]

Agree with bernard.  It’s frightening if you sit down and tot-up the estimated value of workshop equipment.  Done it a while ago, and I now note the value of all new major purchases and add them to the list.

Try it with your house contents as well, that’s also jaw droppingly surprising!

[Robert Atkinson 2]

On Robert Atkinson 2 Said:

Bing with NFU for the land rover I called them. Te lady who answered the phone said “that will be under our bvintage tractor department, I’ll transfer you”… Sure enough it was and they were happy to cover my engines fully comprehensive including public liabilty and a fixed value for total loss of £1000 each for less then £30 each per year. Only requirement was they had to be over 25 years old. That was proven by the serial number plate.
Which reminds me I am getting close to running the one turbine I currently own (GTCP36-150) so will have to call them and see what cover costs now.

Robert.

Robert, I was interested in your reference to cover in respect of your stationary engines provided by a vintage tractor policy. I searched the website and downloaded a copy of the policy wording, see link below and note the intention is to Insure “vehicles” not stationary engines of any description. it may be worth checking to see if you have cover for what you think you have.

Robert Butler

https://www.nfumutual.co.uk/globalassets/farming/brochures-and-ipids/vintage-agri-vehicle-reference-booklet.pdf

 

 

[DaedalusParticipant @daedalus]

Many thanks guys for the replies.

I had totally forgotten about NFU, in a previous life I used to do Pressure Systems Inspections for them as a Boiler Surveyor.

I will have a word with them this week and also try Walker Midley.

 

Daedalus.

[Tony Pratt 1Participant @tonypratt1]

My home/garage insurance is currently with AXA, last year premium was £388, this year £614 and NFU wants over £700!!!!!! Price gouging at it’s bests guys. Awaiting Walker Midgley to get back to me.

Tony

[Daedalus]

On Daedalus Said:

Many thanks guys for the replies.

I had totally forgotten about NFU, in a previous life I used to do Pressure Systems Inspections for them as a Boiler Surveyor.

I will have a word with them this week and also try Walker Midley.

 

Daedalus.

On Robert Butler Said:

On Robert Atkinson 2 Said:

Bing with NFU for the land rover I called them. Te lady who answered the phone said “that will be under our bvintage tractor department, I’ll transfer you”… Sure enough it was and they were happy to cover my engines fully comprehensive including public liabilty and a fixed value for total loss of £1000 each for less then £30 each per year. Only requirement was they had to be over 25 years old. That was proven by the serial number plate.
Which reminds me I am getting close to running the one turbine I currently own (GTCP36-150) so will have to call them and see what cover costs now.

Robert.

Robert, I was interested in your reference to cover in respect of your stationary engines provided by a vintage tractor policy. I searched the website and downloaded a copy of the policy wording, see link below and note the intention is to Insure “vehicles” not stationary engines of any description. it may be worth checking to see if you have cover for what you think you have.

Robert Butler

https://www.nfumutual.co.uk/globalassets/farming/brochures-and-ipids/vintage-agri-vehicle-reference-booklet.pdf

 

 

Hi Robert,

It was the Vintage Tractor department, the policy was secific to stationary engines. The person I talked to clearly knew the risks with turbine engines.

[Tony Pratt 1]

On Tony Pratt 1 Said:

My home/garage insurance is currently with AXA, last year premium was £388, this year £614 and NFU wants over £700!!!!!! Price gouging at it’s bests guys. Awaiting Walker Midgley to get back to me.

Tony

Perhaps worth mentioning Insurers have experienced significant numbers of subsidence and burst pipe claims over the last 18 months and to a lesser extent storm claims in February this year. From personal experience a let property owned by my sister and I suffered damage of around £100,000 due to the tenant leaving the property unheated in the month of December to watch England play cricket in Pakistan only to find a burst pipe flooding the property on his return.

Increased claims/claims costs result in increased premiums – simples.

Robert Butler

 

[Robert Butler]

On Robert Butler Said:

On Tony Pratt 1 Said:

My home/garage insurance is currently with AXA, last year premium was £388, this year £614 and NFU wants over £700!!!!!! Price gouging at it’s bests guys. Awaiting Walker Midgley to get back to me.

Tony

Perhaps worth mentioning Insurers have experienced significant numbers of subsidence and burst pipe claims over the last 18 months and to a lesser extent storm claims in February this year. From personal experience a let property owned by my sister and I suffered damage of around £100,000 due to the tenant leaving the property unheated in the month of December to watch England play cricket in Pakistan only to find a burst pipe flooding the property on his return.

Increased claims/claims costs result in increased premiums – simples.

Robert Butler

 

Oh I know all the supposed reasons for the price gouging.

Tony

[Tony Pratt 1]

On Tony Pratt 1 Said:

Oh I know all the supposed reasons for the price gouging.

Tony

Tony, I’m sure you do! However what i can say is from a brokers perspective to arrange a home insurance properly and to chose a suitable insurer is totally uneconomic which is why i refuse to transact such business. Adequate cover is of secondary concern – price is all!

Robert

[Author]

Posts