A risk pool administrators’s dream: quality property data and accurate valuations.
You have a lot on your shoulders and need confidence in accurate data and values as you prepare for renewals. But with so much information out there and daily responsibilities on your plate, you don’t always have time to invest in discovering what steps to take.
To ensure confidence in your premiums, ensure that you’re proud to report your data to management, and to feel less pressure, make sure you’re aware of these common issues. Then, take some time to ask yourself a few questions to ensure you’re not overlooking any critical steps.
Plan for the timing of your appraisal project properly
Many pools fail to anticipate how long the process will take to kick off, complete, and gain meaningful data and reports. Space out your multi-year engagements (if applicable) and establish the appropriate time frame.
Ask yourself:
When will my underwriters/reinsurers need their final data and reports?
What’s an appropriate (and achievable) time frame?
Involve your underwriting team and reinsurers
Many pools will collect data but later notice it wasn’t everything they needed and they’re now missing data. Instead, working with an asset valuation firm like HCA will help ensure you’re collecting the required data at the right frequency.
Many don’t think to involve a reinsurer. It’s important to reflect on stakeholders upstream and how your data needs to be presented back to members and/or insurers.
Ask yourself:
Who will be using my data?
How do I want this data presented to members and insurers?
Establish the proper threshold for property to include in the appraisal process
One of the most critical decisions you’ll face is selecting an appropriate threshold for property to be appraised. This typically involves weighing project cost against the anticipated benefit.
Invest in a cost benefit analysis and determine the data you need versus the data you want.
Ask yourself:
What data do I truly need?
Are lower-valued exposures on member SOV’s accurately stated and valued? If not, am I missing out on reasonable premiums for unknown risks I’m assuming?
What steps can I take to ensure I’m not missing any properties or assets?
Know all the steps to take during an appraisal program
The appraisal program process can be overwhelming. How do you ensure you’re not missing out on anything?
Click here to download our free Guide for Underwriters, complete with more mistakes to avoid, extra questions to ask yourself, and a comprehensive checklist to guide you through the process.
If you have any questions about any of these mistakes or fear that you may be making them, reach out to us. We’d be happy to help.
Types of Fixed Asset Management Reports and How to Utilize Them
UncategorizedA good asset management system relies heavily on accurate data and precise reporting. The best way to use this data is by providing valuable insights into asset utilization. Below you’ll find a few examples of asset management reports and how to best utilize them to keep your business efficient and organized.
Maintenance reports
If your organization has a lot of equipment that requires regular maintenance or calibration, these reports can be incredibly beneficial in helping you control your expenses and save money.
Get a full breakdown of which assets are being used the most, how each is performing, when maintenance is needed, and what the cost will be to maintain each. This data also helps as you make decisions about prospective budgeting for your future asset needs.
Audit reports
Auditing is crucial in verifying assets in your organization. Audit reports answer questions about where your assets are, any that are on lease, and any that need maintenance (see above).
Audit reports also give visibility into inadequate, ineffective, or underutilized assets.
Workflow reports
Keep track of all of your workflows in order to ensure your assets are being used to their full capacity. Keep the activity of your assets organized and ensure they’re being used most effectively and efficiently.
When equipment is sent in for maintenance, do you have a way to measure how long it will take or what you’ll be doing in the interim? A workflow report can help.
At HCA, we’re here to help ensure you’re getting the most out of your reports. A few of the ways we do that:
Ready to see how? Contact us today to get started.
Your Appraisal Program Checklist
UncategorizedAs a pool administrator or manager, it’s likely that you’ve run into efficiency and organizational issues when it comes to your appraisal program. We’ve created a checklist to help you properly prepare. When you engage HCA, we walk alongside you to ensure the ultimate success of your program.
Step 1: Project rollout milestones
In this step, it’s important to assign realistic dates to each item you’ll need to complete. It is essential to think through how long each task will take in order to create a truly realistic timeline of your project.
Some things to include:
Step 2: Identification of project stakeholders and contact information
Now is the time to identify each of your project participants—and we’re not talking about your members. By overlooking important stakeholders, you may later realize the data collected is incomplete or improperly formatted. Think globally as you prepare for your project.
Ask yourself these questions:
Step 3: Confirm the scope of appraisals (and assume nothing)
This is the step in which most of the work will be done.
Determine how many members to include in each cycle.
Make sure your buildings and structures will be recorded and classified based on policy definitions, and done so in a clear and consistent manner.
What’s the methodology for recording contents? Will it accurately include ALL the property that should be insured without including property reported elsewhere (think IT assets, consumables, mobile property assets, etc.)?
What’s your methodology for inclusion of insurable property in the open? Are there clear definitions for the appraisal team to follow so ALL assets are recorded consistently and accurately?
What do your deliverables and resulting schedules need to look like?
Specifically, what “secondary” COPE data will be collected and how will that be reported? Are there additional items you or your underwriters will benefit from (think Flood Zone, Elevation, Quake info, Roof Age and other Characteristics, etc.)? Having this discussion with your appraisal firm and understanding their capabilities / limitations before you start is critical.
Step 4: Review policy language for handling of unique asset types
Review all current policy language for consistent handling of these items:
Other potential items to review for proper inclusion / exclusion in your project:
Step 5: Final touches
It’s time to put the final touches on your project! Ensure each of these items have been completed:
Planning and preparation are key elements in launching a successful property appraisal program. If you’re unsure how to manage these steps, we’d like to assist and ensure you’re getting quality, accurate data which will ultimately benefit you, your members and all other stakeholders. Download a more in-depth checklist here and reach out to us here to see how we can help you.
The Risks of Using Spreadsheets for Fixed Asset Management
Uncategorized“Do-it-yourself” asset management using just a spreadsheet—sounds easy enough, doesn’t it? While it may be tempting, there are many risks of using spreadsheets for asset management. Here are some of the largest:
A spreadsheet is prone to errors.
Forbes says that 88% of spreadsheets contain errors, most of which come from human error. Especially if you’re not using a spreadsheet stored in the cloud or on Google Drive, it’s tough to see where errors were made and how to backtrack.
Excel is not mobile-friendly.
More modern asset management software comes with mobile app capabilities, making it easy to manage out in the field. This is virtually impossible with Excel.
It’s not real-time.
Asset management entries need to be updated regularly. Spreadsheets don’t allow for regular, real-time updates.
It’s tough to attach documents or other files to spreadsheets.
Many documents are vital for asset management, such as purchasing documents, service maintenance schedules, photos, and videos. Spreadsheets do not have the right capabilities needed to organize these documents and attach them where needed.
It’s not being updated regularly.
Spreadsheets have been essentially the same for years and years. Asset management software is constantly being updated with you in mind, so you can trust you’re getting the latest in necessary asset management technology.
It’s not designed to make you efficient.
Sure, spreadsheets can help you keep track of some data, and can even help you look up specific metrics. But how can you trust something that was built for a broad audience, not specifically with you in mind? Asset management software was built for you so you can trust you’ll be able to use it the way you truly need.
If you’re still using spreadsheets to manage your fixed asset records, it’s time to make a change. At HCA Management, we give you the services you want with expertise you need and the software to do it correctly. Let’s talk so we can show you the difference our accurate data makes.
Appraisal Issues to Consider
UncategorizedA risk pool administrators’s dream: quality property data and accurate valuations.
You have a lot on your shoulders and need confidence in accurate data and values as you prepare for renewals. But with so much information out there and daily responsibilities on your plate, you don’t always have time to invest in discovering what steps to take.
To ensure confidence in your premiums, ensure that you’re proud to report your data to management, and to feel less pressure, make sure you’re aware of these common issues. Then, take some time to ask yourself a few questions to ensure you’re not overlooking any critical steps.
Plan for the timing of your appraisal project properly
Many pools fail to anticipate how long the process will take to kick off, complete, and gain meaningful data and reports. Space out your multi-year engagements (if applicable) and establish the appropriate time frame.
Ask yourself:
When will my underwriters/reinsurers need their final data and reports?
What’s an appropriate (and achievable) time frame?
Involve your underwriting team and reinsurers
Many pools will collect data but later notice it wasn’t everything they needed and they’re now missing data. Instead, working with an asset valuation firm like HCA will help ensure you’re collecting the required data at the right frequency.
Many don’t think to involve a reinsurer. It’s important to reflect on stakeholders upstream and how your data needs to be presented back to members and/or insurers.
Ask yourself:
Who will be using my data?
How do I want this data presented to members and insurers?
Establish the proper threshold for property to include in the appraisal process
One of the most critical decisions you’ll face is selecting an appropriate threshold for property to be appraised. This typically involves weighing project cost against the anticipated benefit.
Invest in a cost benefit analysis and determine the data you need versus the data you want.
Ask yourself:
What data do I truly need?
Are lower-valued exposures on member SOV’s accurately stated and valued? If not, am I missing out on reasonable premiums for unknown risks I’m assuming?
What steps can I take to ensure I’m not missing any properties or assets?
Know all the steps to take during an appraisal program
The appraisal program process can be overwhelming. How do you ensure you’re not missing out on anything?
Click here to download our free Guide for Underwriters, complete with more mistakes to avoid, extra questions to ask yourself, and a comprehensive checklist to guide you through the process.
If you have any questions about any of these mistakes or fear that you may be making them, reach out to us. We’d be happy to help.