A NOT SO GREAT ESCAPE - 08/02/2017

Most of us probably instinctively know that escape of water (or, in plain English, a leak) is one of the primary reasons for home insurance claims. We also know how disruptive it can be. Even a small leak can cause significant damage – and stress. However, knowing you’ve got a leak is one thing (it’s generally pretty obvious!), tracing it is another. It may mean, for example, pulling up floorboards in search of the source of the leak – more disruption, and probably more cost. And finding a plumber at short notice isn’t easy. But whilst the leak may not be avoidable, do your clients know that the financial impact can be avoided? And that help is on hand to locate a plumber?

It’s worth putting the issue into context and considering the reasons for the increase in escape of water claims. Here are just three:

1. The evolution of central heating – the 1970s saw the increase in the popularity of central heating systems. These systems use water, which leads to more risk of leaks
2. More household appliances – again, the increase in the use of appliances (which may each be used multiple times in one day) leads to an increased risk of escape of water
3. Home extensions – many people choose to extend rather than move, often opting for open-plan living. Modern heating, such as underfloor, runs on a much higher pressure system, which puts increased strain on pipework (especially if it’s the original pipework)

Winter and Christmas!

Although there’s nothing new about winter, it’s worth remembering the effect that the cold can have. The water in a pipe freezes, ice expands putting pressure on the pipe causing it to split. Water then escapes through the cracked pipe. Most frozen pipes occur in the attic which aren’t generally heated. One thing we all need to do is check that the pipes are lagged – this will help reduce the likelihood of frozen pipes. Once water escapes, gravity does the rest!

Christmas is, of course, a popular time to go away, but it also occurs in the middle of winter. So, if we do go away, we need to leave the heating system on low to ensure that water in the pipework doesn’t freeze. The money saved by turning off the heating will be quickly eclipsed by the cost of damage caused by frozen pipes.

Undetected leaks

Leaks can sometimes go undetected for a long time. A hairline crack in a shower tray, for example, is difficult to notice. Water can escape through the crack, seep into the woodwork and create wet rot. It can cause extensive damage before it’s noticed. A leak from a bathroom or shower, can damage the ceiling and the contents of the room below – the cost of new kitchen units, a replastered ceiling, a new carpet, or a new sofa, would all be significant.

As we’ve grown wealthier as a nation, the value of our properties and the contents has risen. So, the increase in the likelihood of leaks has coincided with an increase in the value of the contents, fixtures and fittings etc., that need replacing if there’s a leak. A double whammy!

There are some simple, sensible things your clients can do to avoid water escape (lagging pipes, leaving the heating on) and there are other sensible decisions they can make (with your advice) to minimise the impact of a leak. To alleviate the problem and stress of finding a plumber at short notice, they should consider ‘Home Emergency’ cover. And when taking out a buildings and contents policy, they need to check whether ‘trace and access’ is included. Trace and access covers finding the leak and the cost of any damage caused whilst finding it. That could prove very good advice.

Of course, with Assurant, your clients don’t actually need to check – ‘trace and access’ is included as standard on all our B&C policies.