7. Mitigation

Question 1

What does mitigation mean

Answer 1

• Reduce severity
• Insurance claim means actions taken to reduce severity or negative effects of a claim

Question 2

What are the two potential benefits of repair or restoration?

Answer 2

1. Savings made against replacement cost.
2. Restoration of item that has sentimental value.

Question 3

What is the main consideration of mitigation?

Answer 3

Must be economic, ie cost or restoration higher or lower of replacement.

Question 4

What facts can influence mitigation?

Answer 4

• Basis of settlement
• If mitigation will be effective/acceptable
• Long term effects on item

Question 5

How should you act when investigating mitigation measures?

Answer 5

• Promptly, but review position regularly and adjust approach if necessary to minimise costs

Question 6

What should you provide restoration/mitigation companies ?

Answer 6

• Clear instructions about work to be undertaken.
• Set boundaries in terms of scope or cost & ask them to revert back if these boundaries are likely to exceed.