Property Inventory: The True Value of Building Contents
One of your staff stopped by camp to check in on the property after a spring storm rolled through. She texts you photos of extensive damage to your main lodge. The roof had collapsed and a deluge of rainwater had poured into the building. Almost everything was damaged or destroyed, from dining tables to projector screens.
The immediate aftermath of a large property loss can be confusing and overwhelming. It can be difficult to process the impact to your camp’s ministry. Trying to remember all the contents inside your camp buildings, their quantity, value, make, and model numbers only adds to the stress and can prolong the claims process.
“Camp directors are almost always surprised by the value of their building contents,” said Tom Lichtenberger, assistant vice president of property claims at Brotherhood Mutual. “Proper contents evaluation ensures you have the insurance coverage you need. This includes adequate building and contents coverage, as well as coverage for lost earnings and donations, to help your camp recover.”
Know What You Have
To help make the claims process as smooth as possible, Lichtenberger recommends having an updated contents inventory. While it might seem overwhelming to inventory the entire contents of your camp buildings, it doesn’t have to be done all at once, and it can help speed up recovery after a loss. “It’s impossible to overstate the significance of a current contents inventory. The day you file a claim isn’t the day you want to find out you didn’t have enough contents coverage,” said Lichtenberger.
Where to begin? Lichtenberger recommends breaking the inventory down into smaller, more manageable steps. Since many cabins are set up with similar layouts and contents, this can speed up the process. Consider starting with the main lodge, which typically includes more high-value equipment.
Record all items, as well as model numbers, serial numbers, value, and quantity. To get started, take video or photos of each item, making sure to capture the model and serial numbers. Then, add each item to an inventory list. Store the images and inventory list in two offsite locations to protect the data.
Don’t go it alone. Enlist the help of others to complete your inventory. Have your camp staff assist with each building until you have a complete inventory. And don’t worry if you don’t capture every item. What’s most important is that you inventory items with high value or high quantity. And don’t forget about any storage buildings that include equipment for sports, water activities, grounds and maintenance, or others.
When taking video or photos: take one overall image, get an image of the model/serial number, and look it up and provide a value.
Even if you don’t think your ministry needs full coverage for a total loss, it’s still important to know what you have and its current value. This gives you a baseline contents value, allowing you to work with your agent to adjust limits based on current needs.
Keep up with your contents. With every new camp season comes new programs and often new equipment. Older items might also get replaced. Make sure to update your inventory when you add something of value. For example, if you purchase a new mower or tractor, think about if you want to make sure it’s covered by insurance. This goes for other equipment, too, like canoes, kayaks, kitchen appliances, volleyball nets, or instruments. Once you’ve performed a full inventory, adding new pieces of equipment becomes much easier.
Don’t Forget About Personal Property
Your policy’s contents coverage may pay to replace items owned by the camp, but it may not fully cover items personally owned by your camp director, campers, or staff.* Organizational Personal Property coverage helps pay for damage or loss of items owned by staff or campers. Additional coverage can be considered if needed. Work with your insurance agent to verify if you have enough coverage to replace items owned by your people.
Posted August 2024
*All coverage decisions and payment terms are subject to their terms, conditions, coverage limits, limitations, and exclusions. For precise detail of coverages and payment terms, please refer to actual policy forms.
The information provided in this article is intended to be helpful, but it does not constitute legal advice and is not a substitute for the advice from a licensed attorney in your area. We encourage you to regularly consult with a local attorney as part of your risk management program.