Alex Glickman (pictured), senior managing director of Gallagher’s global real estate and hospitality practice, said insureds must lead with strong, defensible data and be ready to prove the soundness of their methodology in obtaining those values.
“The first step is understanding the valuations and making sure that the replacement cost is correct and true, because premiums are a function of the replacement costs. Most people want to insure at as low a value as possible, because they don’t want to pay the premium. Unless, of course, they have a loss, and that the damage exceeds what was reported,” said Glickman.