What is our approach when it comes to advice on residential structural warranties?
Property developers can be forgiven for treating the arrangements of their residential structural warranties with a degree of apathy.
At J3, when we discuss residential structural warranties we often hear comments resembling; ‘We know we need the policy to satisfy the various lenders involved – what information do I need to provide to get a quote, how long will it take, and what can we do to keep the price as low as possible?’
Considering a residential structural warranty is the largest single outlay in a developer’s insurance programme, it is important to get advice on residential structural warranties to bring a clear sense of strategy to the fore, alongside much-needed peace of mind.
But before we discuss the principles that shape our way of working, we would like to acknowledge the increasing frustration felt by property professionals about the growth in the cost of insurance premiums. To address this, and where possible to mitigate it, we always recommend to our clients to keep the following points in mind.
Residential structural warranties are all about the timing
Get us involved as soon as you can. The most significant impact anyone in charge of looking to take care of the residential structural warranties for their business could make, is improving the timing and not leaving it to the last minute to get their advice on structural warranties.
With enough time, as your advisor we can paint a picture to the insurer about the proposed development being insured, the developers’ background, and the professional teams to be employed. These elements make up the fundamentals of securing appropriate residential structural warranties when it comes to cover and pricing.
Well-presented enquiries that detail complete information are always well received by underwriters. Too often, the backlog of cases some insurers battle with comes because of incomplete enquiries that require substantial communications back and forth to secure all of the relevant information necessary to make an informed decision. Advisors that collect all the required information before approaching an insurer are often better received than those that don’t!
One size does not fit all
For businesses seeking help with their residential structural warranties, resist the ‘one-sizes-fits-all’ approach. No two developments are the same, and most developers have a varied portfolio of schemes when it comes to the number of units and the type of build, such as an entire new build compared to a conversion project. With that in mind, when it comes to residential structural warranties, it is important to consider that insurers have varying appetites for different types of sizes and projects. When exploring the market on your own, it is essential to understand the insurers’ project preferences, experience with similar schemes, and their technical manual requirements.
It is also not uncommon for your long-standing residential structural warranty brokers to become complacent along the way. The more long-standing your relationship, the more common it is to see the same two providers on every scheme you arrange a warranty on. Having market insight around capacity and business levels is vital to ensure that you always obtain the right policy, from the right provider, at the right price, and at the right time.
J3’s advisory ethos
We believe in partnering our clients with the right ‘A’ rated insurers for their residential structural warranties. Having a network with direct access to all of the ‘A’ rated insurers is essential, but knowing which provider is right for each developer and subsequent development results in ultimate peace of mind, time redemption, and money saved for our clients.
The team at J3 is committed to a straightforward, plain English, and transparent way of communicating. This way of working enables us to yield the best possible results for our clients in the shortest timescales.
Through regular and appropriate discussions with you, our client, we get to gain a deep and full understanding of the needs for your development. We are also keen to hear about and learn from the previous experiences you have from other projects to so that we can make sure that we avoid similar issues that you may have previously encountered on projects. Through this collaborative and consultative approach, we feel that we are well suited to find the right solutions for you
If you have a project you wish to discuss, fill in our online enquiry form or call us on 0203 096 0718.
About the Author
Matthew Blackhall
Senior Advisor
Matt joins J3 having developed an impressive network of property professionals since moving to London. His experience centres around supporting SME housebuilders and housing associations in arranging and placing structural warranty insurance. His commitment and track record of securing the best possible outcome has been his professional trademark which underpins his successful client relationships. Matt was raised in Leeds, and studied in Newcastle before moving to the capital.
