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angela stone

  • Posts: 126
insurance
« on: January 23, 2007, 04:23:45 pm »
Hi guys,

just looking around for insurance at the moment.  We have just found a local broker and he has insured cleaning business before - but he reckons that the key holding insurance is something that people don't go for - rightly or wrongly.

what do you think?  I would have thought it would be a good thing to have.
However, if I just go for Public liability cover - I am looking at around £150.  If I go for the key holding on top it jumps to £500-£600

It's gonna cost me so I want to make sure I am doing the right thing

Ange

Robert Parry

  • Posts: 535
Re: insurance
« Reply #1 on: January 23, 2007, 05:17:07 pm »
Angela,

Like so many things in our industry, and to be fair others, you will always, always get what you pay for.

Imagine:

You employ 2 cleaners on a site, they clean for 2 hours each, no problems with the cleaning from the client's side, everything going well.

Your client employs 30 staff on this site, they even have cctv installed, each staff member has their own key, your supervisor is also issued with the keys and relevant alarm codes, your supervisor losers his/hers keys.

What are you going to tell your client?

Does, not your client, expect you to cover this loss, quickly, comprehensively and with minimumn fuss, is that not why the client chose you in the first place? Because you offer a high quality service, coupled with reliability, and of course are professional in all areas.

If you choose to do without this cover, could you afford to replace the locks, perhaps not just on the main entrance, but the locked offices within the building as well, then of course the cost of supplying new keys, now! Today, not next week, or next month, when you have the cash?

It would be bad enough, to be insured correctly, and you would be looking to convince your client that stuff happens, after all human error does indeed happen, but I would guess that the client would not be very happy if they had to pay for this mistake, then wait until you re-imbursed them at a later date, at least with your company carrying the proper insurance, you and your client would be covered for this eventuality.

Your clients own insurance company, could very well insist on replacing all locks and issuing new keys, as a matter of course anyway, in order to maintain an acceptable level of security, and as a condition of continuing cover.

In my opinion, your insurance should give you peace of mind, knowing that you have covered ALL of the required risks that need to be covered, yes full cover is expensive, but part or no cover, whilst cheaper has the potential to destroy your business and your own personal reputation, this full and comprehensive cover could be used as a selling point for your company, if you point out to your prospects, the dangers and pitfalls of "cheap" cover.

There are various ways of obtaining cheaper insurance, not being truthful on the scope of work that you carry out, as an example, but with the powers that be, linking up databases, legislation etc, eventually these methods will be enforced.

The amounts paid out by insurance companies are getting very, very expensive, if you choose not to cover all reasonable risks, then if the turd hits the fan, you have only yourself to blame, regards,

Rob
A world of difference....

Samuel

  • Posts: 24
Re: insurance
« Reply #2 on: January 23, 2007, 05:20:15 pm »
Hi Angela,

New legislation came out last year from the Security Industry Authority saying that you would now need a licence for key holding unless you are the property owner or a security guard.

The cost of a licence as of April 2007 is a whopping £245.00 for three years.
I'm not sure if you still need insurance on top of that.

Go to:     www.the-sia.org.uk/home/licensing/key_holding/

angela stone

  • Posts: 126
Re: insurance
« Reply #3 on: January 23, 2007, 07:54:41 pm »
Thanks for the link Samuel

but under a tab called Who Needs a Licence?
this website says

"You will not need a licence if you are:

1) a key holder employed in-house.
2) an estate agent or caretaker or you have an informal arrangement between friends or neighbours.
3) a warden employed in-house in sheltered accommodation and your security activities are incidental to your main tasks."

So I am not sure whether this really applies??!! Or am i not misunderstanding (probably)  Can anyone else shed some light on this?

Thanks Robert sounds like Good advice, I think you are correct and i will go for the insurance with that covers Key Holders

regards

Ange