Overcoming complexity

The insured provides services to a wide range of customers including, individual homeowners, SME businesses, and third-party energy providers, who are financially supported by local government funding. Additionally, the insured also offers services through designated third-party providers. This covers various types of installation, such as new windows, doors, and energy meters, as specified by the appropriate energy saving scheme. However, complexity was further multiplied by the use of other third-party construction firms, determined not only by location but also by the specialised service requirements.

Given this unique blend of services, the holding insurer were not able to accommodate the insureds contractual requirements.

Our Solution

We conducted a thorough review of the insured's terms and conditions for both B2B and B2C services, eliminating potential issues within their contracts. This enabled us to determine the extent of the insured's services, their exposure and consequently limit their liability.

Upon a comprehensive review, we collaborated with insurers to identify the necessary coverage. While there could be contingent exposure for faulty workmanship by third-party contractors, limited liability was ultimately mitigated, which is important considering that government schemes also engaged in dialogue with these contractors. Furthermore, there was limited exposure for the insured to make a viable claim for ‘energy costs savings’ as the insured was not providing advice, merely connecting two parties for mutual incentives.

By applying bespoke endorsements, which relate specifically to limiting the liability to contingent cover & reputing financial losses, the insured could accept this under their insured’s terms and conditions, from a B2B & B2C stance.

The Result

Our negotiation with insurers and the application of bespoke endorsements, led to agreed terms within only a few days. The broker-client and insured expressed confidence in the coverage provided, allowing them to continue trading and serving clients. Notably, the coverage offered was significantly wider compared to their previous policy, was backed by a Lloyds Syndicate and gained a dedicated claims handling facility – a great result.