What to Do When You Need to Make a Business Insurance Claim
Making a claim usually happens on a bad day: a break-in, a burst pipe, storm damage, a customer injury or a letter of demand. Knowing what to do next can make the process smoother and help avoid delays.
Here's a practical guide to what to do, and what to avoid, when you need to make a business insurance claim.
Step 1: Make things safe
Your first priority is people. If anyone is injured or in danger, call 000. Then take reasonable steps to stop further damage, if it's safe to do so. That might mean turning off the water, covering a damaged roof, boarding up a broken window or moving stock out of harm's way.
Most policies expect you to take reasonable steps to minimise loss, and the reasonable cost of emergency repairs is often covered. Keep receipts.
Step 2: Report crimes to police
For theft, burglary, malicious damage or vandalism, report it to police and note the report or reference number. Insurers usually ask for this. For cyber crime or online scams, report through ReportCyber at cyber.gov.au and contact your bank straight away.
Step 3: Contact us as soon as you can
Call or email us as soon as practical, even if you're not sure the loss is covered. Late notification can complicate a claim, and some policies, such as liability, cyber and management liability, have specific notification requirements. Let us know:
What happened, when and where
What's been damaged, lost or alleged
Who's involved, including any third parties or witnesses
What you've done so far
You can also find our details on our claims page.
Step 4: Gather evidence
Good evidence helps a claim move faster. Collect:
Photos and video of the damage, taken before clean-up
The damaged items themselves, kept until the insurer or assessor says you can dispose of them
Invoices, receipts or an asset register showing what you owned and its value
Quotes for repair or replacement, if the insurer asks for them
Financial records if you're claiming business interruption, such as management accounts and BAS
Correspondence, such as a letter of demand, email or claim from a third party
Step 5: Don't admit liability
If someone makes a claim against you, for example under your public liability or professional indemnity policy, don't admit fault, promise to pay or agree to a settlement without speaking to us and the insurer first. Doing so can affect your cover. Be polite and helpful, take their details, and pass everything on to us.
Step 6: Work with the insurer and assessor
For larger or more complex claims, the insurer may appoint an assessor or loss adjuster to inspect the damage, review documents and recommend how the claim should be settled. Answer their questions honestly and promptly. We stay involved and follow up so things keep moving.
Step 7: Understand the outcome
Once the insurer has the information it needs, it will decide on the claim. That might mean paying for repairs, replacing items, paying a cash settlement, or, in some cases, declining all or part of the claim. Your excess will usually apply.
If you're not sure about a decision, ask us. We'll explain the insurer's reasons and whether there's anything more to provide.
If you disagree with a decision
If you're unhappy with how your claim has been handled, you can make a complaint through the insurer's internal dispute resolution process. If it isn't resolved, you may be able to take it to the Australian Financial Complaints Authority (AFCA), a free, independent external dispute resolution scheme. We can help you through this process.
Common claim mistakes to avoid
Throwing away damaged items before they're inspected
Starting permanent repairs without the insurer's approval (emergency repairs are different)
Waiting weeks to tell us about an incident
Admitting liability to a third party
Guessing at values rather than providing evidence
Getting ready before anything happens
The best time to prepare for a claim is before you need one. Keep an up-to-date asset register, store important documents in the cloud, review your sums insured at renewal (see our post on underinsurance), and keep our details somewhere easy to find. If storms are a concern, read our storm season checklist.
How we help with claims
As your broker, we're on your side when you claim. We help you lodge the claim, explain what the insurer needs, liaise with assessors and follow up until it's resolved. We look after claims for tradies, construction businesses, cafés and restaurants, commercial property owners and businesses of all kinds right across Australia. Wherever you're based, we handle claims by phone and email.
Need to make a claim?
Call us on (03) 9078 6473 between 9:00am and 5:30pm, Monday to Friday, email info@mminsure.com.au, or visit our claims page. For emergencies outside business hours, check your policy schedule for your insurer's after-hours claims number.
Not a client yet? Contact us to talk about your business insurance.
General advice warning: General advice only. This information is general in nature and doesn't take into account your objectives, financial situation or needs. Before deciding to buy or continue to hold any insurance product, consider whether it's right for you and read the relevant Product Disclosure Statement (PDS) and Target Market Determination (TMD), available from us or the insurer. Cover is subject to the terms, conditions, limits and exclusions of the policy.
M & M Insurance Services Pty Ltd ABN 54 664 837 138 is an Authorised Representative of Ausure Pty Ltd ABN 94 096 971 854 | AFSL 238433.
