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Revised 1 April 2005.

Abstract

The objective of this paper is to provide an insight into the appraisal, investigation and management of insurance claims for subsidence damage to domestic properties. The paper will consider typical insurance policy wording, explore the causes of cracking to domestic properties in the UK and consider what constitutes subsidence damage. Using case study examples, the paper reviews current techniques used to investigate and repair subsidence damage and how a major insurer manages high volumes of claims. Making reference to the wider market and business environment, the paper examines the changing roles of the insurer, loss adjuster, engineer and building repairer in the investigation and repair process. The paper concludes by considering how innovation will help to manage the increase in claims volume predicted to arise as a result of climate change.