A multi-million-dollar insurance claim for damage to a bridge under construction was declined by the client’s insurer, but paid after broker Gallagher stepped in.

Head of Claims Adam Squire tells insuranceNEWS.com.au the example is one of many where brokers help put a client’s point of view more clearly.

“There’s a lot of helping insurers to interpret a policy a certain way, when they could have seen it another way,” he said.

On the bridge claim, Mr Squire says the insurer, guided by their loss adjuster, took the view that an insured peril had not occurred.

“Gallagher worked with the client and helped source a concrete expert that helped Gallagher Claims argue that as no one had specifically witnessed the damage it could just as likely have occurred due to an insured peril.

“Gallagher had arranged the client claims preparation cover so were able to utilise this cover in putting forward the argument.

“This caused the insurer to revisit the claim, appoint another expert who conceded the damage could have occurred as Gallagher argued, and agree to indemnify the insured several million dollars.

“This made the difference between the insured losing money on the job or making the expected margin.”

Mr Squire says the current hard market makes the broker’s role in claims even more crucial.

“When you see a hard market from a placement point of view, it is also a hard market from a claims point of view.

“Authorities get reduced, flexibility gets reduced. I don’t think there’s a big memo that comes from head office, I just think it’s a subconscious thing that flows through an organisation as it tightens up risk appetite, and it flows through into the claims space as well.

“Right now, having a broker with connections into insurers and relationships, but also with people that are very technically strong at interpreting products, is really important for clients.

“There’s definitely no insurer memo that says don’t pay claims. But our job is to help insurers understand that when you look at a claim it’s not always black or white, it can often be grey. So you can interpret it differently.”

Gallagher has produced a document featuring 17 case studies where it has successfully advocated for clients in claims.

The document can be read here.