Is Your Brewery Insured...?

[warra48]

Warra,

Is it true that say for example you are insured for 80k contents, your house burns down and you loose everything..

You go to replace it, it prices out at 94k - Insurance says you are 14k 'Under insured' so pay you out 80k-14k = 66k ??

Anyone infact?

Cocko,

No, that's not how it works. You'll get paid your $80K if everything is destroyed. As it is, you'll still be $14K down, because to replace everything you'll need to find another $14K.

The process used is called "Average". Let's say you have contents worth $100K to replace, but you only insure for $60K. That's 40% underinsured.
So, if you have a loss of $10K, you'll get 60% of your loss paid, that is $6K. That's equivalent to the 60% proportion you've insured.

Having said that, in all my years I only ever applied the principle on 1 or 2 occasions where there clearly was blatant and deliberate underinsurance. For the normal day to day losses, we didn't worry about it, except to advise people to increase their insured amount.

 

[goomboogo]

We have contents insurance, the brewery is contained within the garage with a heap of other contents, so by rights it should be covered as the insurance company is aware of our lock up garage and fact some contents are stored there.....

+1 to Komodo on the relative cost of contents insurance vs other types, I personally have contents insured for 70K and it costs us $40 a month, the POS car is insured for 4K and costs 90 a month......seriously??? And don't even get me started on what we pay in health insurance as a family of two adults and one child, all with a clean bill of health.

$90/month for a $4000 car. $1080/year for a $4000 car. My only experience with car insurance is that with my car; but that sounds like you're getting stung.

 

[drew9242]

$90/month for a $4000 car. $1080/year for a $4000 car. My only experience with car insurance is that with my car; but that sounds like you're getting stung.

Yea i reckon you might want to look into some other insurance. We pay nearly half of that and it's for a 35k car.

 

[Nick JD]

PS. Just having a rant because you seem to think your'e way is the best and everyone else is wasting there money.

Oh God no - my way is undoubtedly not the best way to make wort. It's probably one of the worst.

The way I make beer from the wort is the best. If someone stole my $27 fermenter thing I'd be heartbroken.

Is everyone who's spent thousands on brewing equipment wasting their money? That's up to them to decide, not me. Sometimes a reaction indicates an issue in cross-examination ... so maybe those who thought the more they spent the better their beer would get have an issue. If they do, it's their issue, not mine :icon_cheers: .

 

[drew9242]

Oh God no - my way is undoubtedly not the best way to make wort. It's probably one of the worst.

The way I make beer from the wort is the best. If someone stole my $27 fermenter thing I'd be heartbroken.

Is everyone who's spent thousands on brewing equipment wasting their money? That's up to them to decide, not me. Sometimes a reaction indicates an issue in cross-examination ... so maybe those who thought the more they spent the better their beer would get have an issue. If they do, it's their issue, not mine :icon_cheers: .

Fair enough each to their own. I myself only have a couple of kegs a small 25L esky and 2 burners to do all my work, which cost me a $300. I just find it interesting that you have no desire to upgrade your brewery (maybe you do but it doesn't come accoss that way). Every day i think of something that could make things easier and increase batch size. But i can't afford it, but love thinking about and talking to people who have upgraded. Enjoy your brewday with all the lovely smells as i will my :icon_cheers: .

On topic: Me wife reckons you should at least take a photo of your gear so you got some proof of what you have. But if your brewery is worth $1000 of dollars, it would be reccomended to let your insurer know of all the gear.

 

[Nick JD]

Every day i think of something that could make things easier and increase batch size.

I hear you, Drew - but sometimes I see people's HERMS and RIMS setups and wonder if "easy" is the right word. Those setups take longer to clean than I take to brew. My cleaning regime takes about two minutes. Again, I'm not saying this is better, I'm saying it's influenced my decisions when contemplating upgrades. Having to think about insuring brewing equipment gives me a chuckle, I can't help it.

Increasing batch size is something I will consider important to me when the effort of brewing is something I no longer consider fun, and I want to do it less. I have lots of time to brew though (self/home employed), and I can see busy people needing to free up their weekeds more. I fully understand the drive toward bigger batch sizes. For me, I like the variety smaller batch sizes give in The Big Cupboard of Beer.

I'm a gear head in other aspects of life though. At last count there were 15 surfboards in the house and I'm currently making the 16th.

 

[Pollux]

Yea i reckon you might want to look into some other insurance. We pay nearly half of that and it's for a 35k car.

Welcome to living in the Inner Suburbs of Sydney and being 26........I've shopped about and what I'd save going elsewhere I'd lose on my multi-policy discount (CTP, comp car insurance, contents, health)

 

[drew9242]

Welcome to living in the Inner Suburbs of Sydney and being 26........I've shopped about and what I'd save going elsewhere I'd lose on my multi-policy discount (CTP, comp car insurance, contents, health)

Far out that sucks. Im 23 and live in the country. Makes a big difference where you live. Makes you wonder if it is even worth getting full insurance for a car that is worth 4k.

 

[Nick JD]

Far out that sucks. Im 23 and live in the country. Makes a big difference where you live. Makes you wonder if it is even worth getting full insurance for a car that is worth 4k.

3rd party (for the other car, not the occupants) is pretty much the same price as comprehensive if your car is not expensive. If you nail a Ferarri, does the $4K to fix your car matter?

 

[Cocko]

Warra,

Is it true that say for example you are insured for 80k contents, your house burns down and you loose everything..

You go to replace it, it prices out at 94k - Insurance says you are 14k 'Under insured' so pay you out 80k-14k = 66k ??

Anyone infact?

Cocko,

No, that's not how it works. You'll get paid your $80K if everything is destroyed. As it is, you'll still be $14K down, because to replace everything you'll need to find another $14K.

The process used is called "Average". Let's say you have contents worth $100K to replace, but you only insure for $60K. That's 40% underinsured.
So, if you have a loss of $10K, you'll get 60% of your loss paid, that is $6K. That's equivalent to the 60% proportion you've insured.

Having said that, in all my years I only ever applied the principle on 1 or 2 occasions where there clearly was blatant and deliberate underinsurance. For the normal day to day losses, we didn't worry about it, except to advise people to increase their insured amount.

Cheers mate!

 

[Pollux]

3rd party (for the other car, not the occupants) is pretty much the same price as comprehensive if your car is not expensive. If you nail a Ferarri, does the $4K to fix your car matter?

This is again true......Moving it to third party only results in a saving of $2 a month, woohoo.......

 

[drew9242]

This is again true......Moving it to third party only results in a saving of $2 a month, woohoo.......

Far out it gets worse. With my 8k hilux i just got third party and it was only $180 for the year.

 

[Pollux]

And from this we have learnt one thing, do NOT live in a city.......The increased rent is only the beginning....