Got a Lift? You Need an Engineering Insurance & Inspection Policy
Sinead Campbell from London Flats Insurance explains the importance of Engineering Inspection and Insurance.
Most buildings insurance policies taken out on blocks of flats will cover damage to passenger lifts as a result of an insured peril such as fire, accidental damage and malicious damage. However, these policies do not normally extend to damage caused by the breakdown of the passenger lift or to the legal requirement to have lifts regularly inspected.
Enter the specialist Engineering Policy, which many of the specialist insurers offer. Such policies are designed to help property owners comply with their legal obligations to have their lift inspected by a competent authority at six-monthly intervals with a record of these inspections being kept and/or a certificate issued.
The Requirements
It is a legal requirement for lifts to be inspected by a competent person at six-monthly intervals. ‘Lifts’ would include passenger lifts, window cleaning hoists and winches fixed to the roof of the property. A record of these inspections must be kept and/or a certificate issued.
Whilst a lift may have a maintenance agreement in place, this agreement may not include the statutory inspection requirement. It is also recommended that an independent lift engineer inspect the lift. It is therefore essential that this is checked and that a report and certificate of inspection is to hand.
How Insurers Can Help
To help comply with the LOLER requirements, insurers have traditionally offered an inspection service under an Engineering Insurance policy. Insurers have also been able to extend the policy to include damage to the lifts following its breakdown.
Most property owners or blocks of flats insurance policies will cover damage to passenger lifts as a result of an insured peril such as fire, accidental damage and malicious damage. However, these policies do not normally extend to cover damage caused by the breakdown of the passenger lift, hence the need for an Engineering policy.
Some lift engineering companies will include a provision within their maintenance contract for the cost of repairs (parts and labour) in the event of breakdown- in effect, a warranty type of insurance.
This warranty may duplicate some of the cover provided by other insurance policies but uniquely will provide cover for wear and tear. General wear and tear is traditionally excluded by normal insurance policies.