General wear and tear on a property is inevitable. For business owners, it’s particularly important to maintain and care for property in order to keep the long-term costs of owning these assets down.
Why Property Maintenance Is so Important
A minimum investment in the maintenance and care of your business assets can help avoid larger bills for extensive repairs in the future. More importantly to note, many insurers do not cover property for damage that is caused as a result of an ongoing problem. Even if your property is covered by insurance, you will have to make a claim to repair or replace it, which will involve a certain excess, and can be a lengthy process.
The best way to avoid having to make a claim is to ensure all business property is adequately maintained.
How to Adequately Maintain Your Property
There are three main types of property maintenance:
- Regular Maintenance: Jobs that are assigned to be taken care of at regular intervals, either daily, weekly or monthly.
- Preventative Maintenance: Identifying problems before they become emergencies.
- Corrective Maintenance: When something breaks, you have to fix it. This type of maintenance can be the biggest drain on your business, and can often be the cause of an insurance claim. It can most often be avoided by employing routine and preventative maintenance.
Any business owner knows that being prepared is key to the longevity of your company. In order to avoid having the financial expense and time consuming task of Corrective Maintenance, a property maintenance plan can come in handy.
What is a Maintenance Plan?
A Maintenance Plan keeps track of what needs to be done to keep your business property and equipment correctly maintained and protected. In applying an effective Maintenance Plan, you can prevent larger issues to your business from arising. For example, faulty equipment or a building in disrepair may put your employees safety at risk. Or if your business building needs to be repaired, you may not be able to operate during the repair period.
A well-managed and properly implemented Maintenance Plan can help to prevent the build up of issues, which is a cost-effective way of ensuring the value of an asset is retained long term.
Calibre insurance has put together a Maintenance Plan that is relevant for SMEs. Click the following link to access a copy of the plan: Link
Each business is unique, so we suggest that you prepare your own plan for your business, but this provides an excellent starting framework. Ensuring your business property is adequately maintained is a vital step in the entire risk management strategy for your organisation.
For more information on this, or other risk management strategies for your business, don’t hesitate to get in touch with us.
Conditions apply for each policy and the information expected from you for a policy to trigger. Coverage may differ based on specific clauses in individual policies. Please ask your broker to explain the additional benefits and exclusions pertaining to your policy.
The information provided is general advice only and does not take account of your personal circumstances or needs. Please refer to our financial services guide which contains details of our services and how we are remunerated.