News

Robert Cant, GJS Dillon’s Associate Director of Commercial Building Surveying outlines his 5 reasons for having a Reinstatement Cost Assessment:

1. If you’re underinsured, this leaves you exposed to huge losses in the event of a claim.
2. A Reinstatement Cost Assessment (RCA) includes not just the building, but the full cost of demolition and rebuilding, assuming total destruction. 
3. An RCA incorporates the true costs of the whole site, including outbuildings, car parks and landscaping if the worst should happen.
4. If a full RCA is undertaken on a 3-year cycle, then the reinstatement cost should be updated with a yearly adjustment made to factor in rising construction costs and any adaptations to the building. RCAs are prepared on building-by-building, ‘day one reinstatement’ figure, equivalent of a fixed price tender. 
5. If you have not insured the full value of the property, insurers could apply an average clause to the claim to cover the real risk value calculated by underwriters. This could reduce the settlement by 30%.

To book a Reinstatement Cost Assessment contact Robert Cant on 01905 676169 (Option 4) or email robertcant@gjsdillon.co.uk