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Over the last couple of years, insurance corporations have been dealing with law suits over policies that were issued many years back. Many a times this information concerning the policy, brokers and premiums is not available and the company has to pay millions in litigation. Insurance archaeology ensures that you are able to find these documents.
These litigations are from products designed many years back which have now caused harm. For instance, asbestos products manufacturing companies have been subject to these suits. This is because of the wide use of asbestos in the past as there was no prior knowledge of their effects. In light of new scientific evidence to show that asbestos has been harmful these companies are sued.
Only insurance archaeologists are able to unearth these policy documents. They work is to leave no stone unturned as they investigate, examine, interview and locate. However, despite all the effort this is not always possible. Maintaining the past insurance policies over the years has been increasingly difficult for varied reasons.
One of the causal factors for this is that the past few decades have been characterized by mergers and acquisitions. In addition, companies may relocate or downsize and even employees cease to work for the company. Other reasons have been loosing files ether intentionally or non-intentionally and organizational restructuring. Besides, the 1999 the Millennium bomb caused companies to destroy so many documents.
When faced with a probable expensive claim, the insurer will wan to see the policy documents. These documents when available are a sure way to avoid long costly litigation. For this reason companies need to locate and organize them and also secondary evidence coverage of the insurer. If there are not suits likely to face your company then you may relax. However when you have the documents they will give you preparedness for any claims.
Past policy documents are not only necessary for lawsuits. When trying to acquire another company or merging with another, be sure to look at their old policies. This will form you what exactly you are likely to face in the future. It is because legally the new owners of a company not only get their assets but their liabilities are transferred as well. This informs your decision, because the company may be either adding more assets or taking them away in the long run.
The work of insurance archaeologists revolves around being a detective, historian and an excavator. They have to go through broker records, locate and interview retirees and also the descendants of former employees. They are forced to go through countless files in ledgers and other accounting documents and government databases. They also have to sort through personal garages and attics of former employees. Sometimes these retired employees or descendants of those who are dead are in different states.
Having been in business for decades will mean that not all documents can be traced. Therefore you will need the services of an insurance archaeologist to help you locate them. This will ensure great savings from law suit costs. To be on the safe side you should review past policy documents from target companies of possible merger or acquisition. This is an absolute company best practice and will save you many law suits.
These litigations are from products designed many years back which have now caused harm. For instance, asbestos products manufacturing companies have been subject to these suits. This is because of the wide use of asbestos in the past as there was no prior knowledge of their effects. In light of new scientific evidence to show that asbestos has been harmful these companies are sued.
Only insurance archaeologists are able to unearth these policy documents. They work is to leave no stone unturned as they investigate, examine, interview and locate. However, despite all the effort this is not always possible. Maintaining the past insurance policies over the years has been increasingly difficult for varied reasons.
One of the causal factors for this is that the past few decades have been characterized by mergers and acquisitions. In addition, companies may relocate or downsize and even employees cease to work for the company. Other reasons have been loosing files ether intentionally or non-intentionally and organizational restructuring. Besides, the 1999 the Millennium bomb caused companies to destroy so many documents.
When faced with a probable expensive claim, the insurer will wan to see the policy documents. These documents when available are a sure way to avoid long costly litigation. For this reason companies need to locate and organize them and also secondary evidence coverage of the insurer. If there are not suits likely to face your company then you may relax. However when you have the documents they will give you preparedness for any claims.
Past policy documents are not only necessary for lawsuits. When trying to acquire another company or merging with another, be sure to look at their old policies. This will form you what exactly you are likely to face in the future. It is because legally the new owners of a company not only get their assets but their liabilities are transferred as well. This informs your decision, because the company may be either adding more assets or taking them away in the long run.
The work of insurance archaeologists revolves around being a detective, historian and an excavator. They have to go through broker records, locate and interview retirees and also the descendants of former employees. They are forced to go through countless files in ledgers and other accounting documents and government databases. They also have to sort through personal garages and attics of former employees. Sometimes these retired employees or descendants of those who are dead are in different states.
Having been in business for decades will mean that not all documents can be traced. Therefore you will need the services of an insurance archaeologist to help you locate them. This will ensure great savings from law suit costs. To be on the safe side you should review past policy documents from target companies of possible merger or acquisition. This is an absolute company best practice and will save you many law suits.
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You can visit www.municipalarchivists.com for more helpful information about The Importance Of Insurance Archaeology To A Company.
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