Top tips about CAR/EAR Losses in Latam is the title of the seminar that took place on May 23th in Miami.
The talks began with an exposure by Raúl Losana of Comando Engineering who explained the soil conditions in Mexico City and how these affected different buildings following the 2017 earthquake.
He also presented topics related to changes in regulations and building codes in Mexico. Their evolution through time in response to the different earthquakes and how the buildings built under each version of the code behaved during the 2017 earthquake.
Raúl brought up interesting issues regarding the definition of the extent of damages and introduced opportunities he has identified for insurers related to the upgrade costs to comply with current codes (post repair).
Then Álvaro Jaureguizar and Jaime Castillo of RTS International Loss Adjusters dealt with issues related to differences in construction policies regarding the return periods for different phenomena. They began by explaining what the return periods represent and how they are calculated. They also shared examples of 4 different policies that refer to such periods.
Álvaro and Jaime closed by presenting 2 practical cases of the application of the return period and its definition in the policy applicable in the exposed claims.
The event was closed by Juan López-Santini of QLDG who addressed the differences and deficiencies in ALOP (Advanced Loss of Profits) and DSU (Delay in Startup) policies. Following a description of the different wordings and how they are applied, Juan presented a practical example, with which he illustrated the need for greater clarity in these wordings and offered suggestions on how to improve them, citing the typical problems he has encountered in handling almost 200 claims under these coverage formats.