Property valuation for insurance 

Insurance valuation methods determine values of a building, real estate or machinery to secure insurance coverage. Global Risk Consultants Corp.’s insurance valuation methods review and establish rebuilding and replacement costs so businesses can secure the proper amount of insurance coverage.

Property valuation for insurance is critical for determining proper loss estimates by establishing credible, accurate valuations of their insured assets so they don’t risk being underinsured, meaning an insurance claim would not cover rebuilding or replacement costs.

A valuation based solely on market values can be inaccurate, especially during periods of rapid inflation, and many companies fail to review this and insure themselves appropriately. In the event of a loss, underinsurance and drastically reduced claims can cost the commercial sector dearly.

A robust insurance asset insurance valuation considers replacement costs, rebuilding costs, demolition, fees, and much more. With accurate values placed on your assets, you will settle policy claims faster and reduce risk exposure.

Benefits of accurate insured asset valuations include:

• More data to help underwriters make decisions
• Assures proper risk transfer terms and costs for exposures.
• Includes better estimates of risk improvement recommendations.
• Establishes accurate loss estimates for risk modelling.
• Includes up-to-date natural catastrophe accumulation including wind, earthquake, and flood.
• Offers informed retention/reinsurance analysis.

Our valuation service team has conducted insurance appraisals globally for over 30 years for Fortune 500 companies in various sectors, including heavy industry, real estate, and healthcare.

Our properties valuations are performed by skilled and certified appraisers, trained in the valuation of commercial property and machinery for insurance purposes. While onsite inspection is generally the preferred method, credible “desktop” valuation of properties are available. They have proven to be an effective valuation service that can be performed remotely when onsite inspection is not feasible.

Global Risk Consultants is well-regarded among insurers worldwide as an independent, unbiased provider of services. Many of them are also our clients. This gives our property valuations a high level of credibility when they are presented to policy underwriters.

Our insurance asset valuation programmes include:

• Assurance of proper risk transfer terms and costs for exposure.
• More accurate loss estimates and risk modelling.
• Up-to-date natural catastrophe (Nat Cat) accumulation including wind, earthquake, and flood.
• Informed retention/reinsurance analysis.
• Better estimates of risk improvement recommendations.

Our valuation process includes:

• A pre-visit letter will request several important data points regarding buildings to be appraised, including square footage (by occupancy and by floor), and any prints and plans for future expansions. For machinery, expect to be asked for process and flow diagrams, along with any other documentation or details of how each piece of equipment works.
• Valuation appraisers meet with company leaders in person to offer initial value projections and answer questions. The team will then walk through the facility and conduct a meticulous, comprehensive equipment appraisal. Valuators typically speak with engineers to gain their perspective on equipment, which will be more detailed and granular than any initial summary.
• Following on-site work, our valuation team departs to work on their report, speaking with local contacts, vendors, and manufacturers to learn other factors pertinent to the valuation. You’ll receive an unbiased valuation that considers all factors that would affect the cost of rebuilding an office, factory, facility, or other structure.