How to keep clients’ properties dry in all seasons
With water around every corner, clients’ properties are more vulnerable to water damage than many would imagine. In fact, water is the number one property-related homeowners claim, according to Chubb’s claims data, and the Insurance Information Institute found that one in 50 homeowners will experience a related claim each year. When they do, it will cost close to $10,000 per leak.
Despite being both a common and costly risk, a recent Chubb survey of homeowners examining their approach to water damage prevention shows that it’s a threat clients largely overlook. Luckily, agents and brokers can help clients prevent water from damaging their homes, no matter where it comes from. It starts by helping clients understand the seasonal exposures they face.
Ensuring a fun, carefree vacation
Most clients take advantage of the summer to travel with family and friends. Yet too many vacations are ruined as a result of clients failing to take the appropriate water protection steps before departing. Consider that even though many clients ask a caretaker to watch their homes while away, Chubb’s study found that just 30% leave water leak information and only 17% provide information about what to do in the event of a weather-related flood with caretakers.
Why the concern? Time is of the essence when it comes to water damage, with even the smallest leaks or drips building up over time. In fact, the Insurance Institute for Business & Home Safety reports that plumbing supply system failures and toilet failures are the two most common sources of residential water loss. If either of these systems drip for days, the results can be devastating, both in terms of property and financial damage.
Before your clients head out, advise them to:
- Turn off the water supply. This is the only way to prevent a leak from occurring while away; or
- Install a water shut-off device. This is the surest way to prevent wide-spread damage in the event of a leak.
Beyond travel, the warm summer months also provide clients with the opportunity to jumpstart home renovations. But in their desire to drive value, the number one home-related concern identified in Chubb’s study, many clients are inadvertently inviting new water risk into their homes.
Start with encouraging clients to pay close attention to a contractor’s qualifications, prioritizing certifications and licensing above word-of-mouth recommendations. Although both play an important role in the hiring process, Chubb’s study found that 42% of homeowners prioritize the latter, versus 32% who emphasize the former. If contractors don’t have the right experience or professional background, they should not be involved in the client’s renovation project.
Making the most of your time outdoors
Homeowners eager to enjoy the last warm days of the year often spend time working on their gardens, yards and outdoor areas. Many use this time to install sprinkler systems, construct outdoor kitchens and build decks, all designed to enhance their homes’ landscapes. According to Chubb’s survey, close to a third of homeowners (30%) think these types of exterior upgrades most positively impact their homes’ values.
Yet, these projects can quickly let water into all the wrong places. Agents and brokersshould encourage clients to consult with a landscape architect about how enhancements may alter the slope of their garden or clog drains and gutters. Failure to take this into account means new upgrades could redirect water toward clients’ homes, seeping into the foundation or basement over time and potentially resulting in significant damage. By speaking with your clients about their garden renovation projects, this is an expensive loss that agents and brokers can help clients avoid.
Forecasting frozen pipes
Most homeowners know that the pipes in their homes are at risk of bursting during the cold winter months. Homeowners are 40% more likely to have water damage in the winter than any other time of the year, according to Chubb claims data.
Still, only 21% of homeowners report installing pipe insulation, even though it is one of the surest, simplest and cheapest ways to protect exposed pipes in the basement or garage in cold weather. Homeowners might also want to consider hiring a contractor to install pipe insulation for interior pipes that are located adjacent to an outside wall.
Not only does installing pipe insulation help keep the water in a home’s plumbing system from turning to ice and expanding (and thus bursting the pipes), it often helps homeowners save money on their energy bill. In essence, a reminder to install insulation could help clients avoid a major winter headache while also lowering utility bills.