Building Inspectors work in a litigious occupation and the trend of increasing litigation appears to be getting worse.

Insurers have tended to shy away from the profession in recent years, but with good practises and a willingness to work together, Inspectors can get quality cover at a better price.

Even though Inspectors always strive for excellence, claims are coming from breaches that can be avoided with good practises and planning.

These include but are not limited to:

1. Not Getting A Pre-Inspection Agreement
2. Combined Reports
3. Assumptions
4. Not Reporting on Defects Properly
5. Identifying Defects Incorrectly
6. Not Reporting Properly on Obstructions And Accessibility
7. Vendor Reports
8. Cracking
9. How Far Away from The Dwelling Should be Inspected?
10. Roof Pitch

WHY DO I NEED A PRE-INSPECTION AGREEMENT?
This document protects you as it sets out the scope and the limitations of your report. It is also a requirement of some insurers that it is acknowledged and failure to obtain acknowledgement may result in a claim being declined.

COMBINED REPORTS
The combined reports have had recent mentions in several court documents indicating that a combined property and timber pest report was harder to digest than two individual reports. Generally these reports allowed for very little timber pest inspection information and lacked applicable term and conditions.

Best practise should be the production of separate reports, which provide more detail and are easier to understand (and defend).

ASSUMPTIONS ABOUT PROPERTIES IN A POOR STATE OF REPAIR
For properties in poor condition, it may well be the case that the purchaser does not fully accept or understand the current state of disrepair.

It’s really important to ensure that you cover all bases and more importantly yourself. Document the current condition, even though it may appear obvious. Without this, you’d have to argue that a purchaser just should have known. As the professional, it’s up to you to make sure they’re aware.

DEFECT STATEMENT
Claimants are most often successful in their claims when there isn’t a complete defect statement. Though this again seems obvious,  it is one of the most usual causes of disputes.

Once you identify a defect you are professionally obliged to disclose it and to offer advice on remedial options the client may have (this does not include estimating costs).

1. What is it
2. Where is it
3. What’s wrong with it
4. Recommendation
5. Timeframe to implement recommendations

DEFECT IDENTIFICATION
If the defects are on a load bearing element it should be considered a major defect or noted as a safety issue if appropriate.

OBSTRUCTIONS AND ACCESSIBILITY
It is important to note if the obstructions are localised or widespread, and, where possible, add photos and comment. While it is important to advise where you could access within the dwelling it is equally important to advise where you couldn’t access.

VENDOR REPORTS FOR REAL-ESTATE AGENTS
We understand that for many of you the relationship with real-estate agents is core part of your business. Conducting a vendor report without the vendors named in the inspection agreement means that you are no longer protected by the third-party clause.  This is an area of high exposure for the inspector. Whenever possible, include this information, and explain to the Real Estate Agent how important it is to your business.

CRACKING
If you see cracking in a building (brickwork, driveway, slab or retaining walls), unless you are an engineer you should report accordingly and recommend further investigation. Fine cracking should not be dismissed as a benign hairline crack. Failure to note cracking or advising that it is nothing to worry about has resulted in claims.

ROOF PITCH
Whilst many consider that this is excluded and should be considered compliance or code you do have a duty to report on the pitch if there are conditions conducive. If you find evidence of damp you must consider what the cause may be and if the roof pitch is suspect you need to advise that further investigation is required.

HOW FAR AWAY FROM THE DWELLING SHOULD I INSPECT?
AS4349.1 and AS4349.3 say you must inspect where possible up to 30 metres from the dwelling. It is prudent in NZ to follow the same standard.

The above-mentioned points are for your consideration and are not intended as legal advice. If you have any questions about the adequacy of your reports in relation to the standards you should seek legal advice. As part of our service, we can provided reports that have been Barrister checked and that Underwriters will accept as Insurable reports.

GET A QUOTE FOR BUILDING INSPECTOR INSURANCE HERE

Competitions can be a great way of attracting more participants to your event and hopefully some of them will become Club Regulars along with your existing members.

Prizes can range from Cash to Cars and anything in between – and organisers are often responsible for paying up if there is a lucky winner.

Fortunately, there is Insurance to cover such a situation – and we aim to make it simple and within reach financially, so organisers can be relaxed and look forward to their big day.

The simplest and most normal cover is for Hole In One and the online proposal form aims to make it easy as to set down your details.

However, we recognise there are other types of competition or event you want to run that aren’t the traditional tournament with one hole being the prize hole; contact us on 0800734677 to discuss.

For Hole in one cover you can complete your details here:

RDi Insurance has been working with Underwriters to get wide ranging cover at a competitive price for Building Inspectors.

Over the last few years in New Zealand cover for Inspectors has been often hard to come by, potentially restricted in cover and a significant cost to the business.

There are several factors that have come together to create this situation.

The Leaky Buildings chaos of the early 2000’s certainly was a major source of concern for Insurers, and that problem is still working its way through – with Building Inspections now being a particular discipline which is affected.

The issue of Meth has also become more prominent in recent years, and needs a professional approach to assess it accurately.

Whilst the duties of and exposures have grown for the industry, it has not been quick to catch up with qualifications and training. Other sectors of Building and Allied Industries have been increasingly subjected to regulation, but the Buildings Inspection profession has been largely bypassed.

As a specialist broker, and part of the wider PSC group of brokerages, RDi has been able to negotiate with Insurers to provide a PI cover that affords well respected Inspectors a strong proposition of cover and premium, that is already making inroads in the New Zealand market.

For Inspectors with a high standard of Report, or who are willing to adopt Reports that meet exacting standards and are underwriter approved, the benefits could be significant.

To get started, please click the button and start your quotation

A news story from CNN has highlighted the progress that can be achieved by progressive Governments and Aviation Authorities who recognise the benefits that can be achieved by Drone delivery.

And that country isn’t one you might expect – it’s not a developed, tech focused, capitalist stronghold – instead it’s a country in East Africa that has decided to step through the past and move straight into tomorrow’s world – Tanzania.

Following the lead of Rwanda, Tanzania will embark upon a full scale programme of the supply of medical products, including vaccines and even blood. Rwanda has already successfully completed over 1,400 deliveries and now Tanzania are now readying themselves to roll out a similar programme.

The lesson here is that a major shift is possible within countries with modern regulatory reform and a willingness to try new things.

In New Zealand, the rules for flying are reasonable, and given the topography, a system of delivery of essential supplies can be a real boon – a trial is set to take place in Northland.

As the possibilities grow, so it is important to consider the risks – RDi are able to offer some great insurance products to cover both loss or damage to UAV and the liabilities operators can incur – both to the public and against statutes.

Contact Rdi for a discussion, or start a quote

Get A Quote for Drone insurance

The full story from CNN:

A second East African nation announced Thursday it will launch a fully automated drone delivery program. The drones will fly themselves, far from the view of humans — a move that’s not yet legal in the U.S. While plenty of countries have dabbled in drone delivery, no program has matched the scale and impact of what’s unfolding in Rwanda and now, Tanzania.

In January, Tanzania’s government will begin using drones to deliver medical supplies such as blood and vaccines to remote areas. The government expects to save lives thanks to faster delivery of medical supplies.Rwanda has already completed 1,400 similar deliveries.

“Everyone has this paradigm that robotics and artificial intelligence starts in the U.S., made by rich people for rich people. It couldn’t be farther from the truth,” said Keller Rinaudo, CEO of Zipline, which is supplying the drones. “There’s a major shift [occurring] where it’s not about the country with the most resources; it’s more about the countries with modern regulatory reform and a willingness to try new things.”

Tanzania will open four drone distribution centerswith Silicon Valley startup Zipline, providing more than 100 drones and 2,000 flights a day. It’s also discussing a partnership with another drone company.

Amazon, a juggernaut in the world of drones, has completed one delivery in Britain. Other companies have undertaken or promised limited operations in countries such as the U.S., New Zealand, Switzerland and China.

In little time, Tanzania’s government sentiment around droneshasshifted from “nervous” to “excited” according to Laurean Bwanakunu, who leads the government agency responsible for procuring and storing medical supplies to the country. Leaders figured the system couldn’t work — and if it did, a drone couldn’t carry more than a few pounds.
But then Tanzania watched as its neighbor Rwanda launched a drone delivery program with Zipline. It realized drones could complement its existing network of trucks, which deliver $600 million of medical supplies around the country.

“If an African country like Rwanda is doing it, and it’s just a stone’s throw away from where we are, why not us?” Bwanakunu said. “The issue is being able to dare and try it. We made a decisions as a country that we wanted to move forward.”

Previously, the government delivered medical supplies only four times a year due to costs. Bwanakunu envisions several deliveries per week including for emergencies.
Tanzania has committed to using the Zipline technology for one year. If things go well, it plans to expand the program.

The government is confident the autonomous drones will be safe. Bwanakunu’s group received permits from its aviation authority and minister of defense. The drones are required to stay below the height of traditional aviation and give airports a wide berth. They include a parachute that deploys if that anything goes wrong.

This isn’t the first time East Africa has been a step in front of the “developed world.”

“We were ahead with mobile money too,” said Bwanakunu, referring to M-PESA, which allows for money to be sent through cell phones. “If today trying this technology will save a human life, why not?”