At Forensic Building Science (FBS), our experienced Building Consultants conduct hundreds of building damage assessments annually for large commercial/industrial and residential properties damaged by storm events, fires, collapse, explosions and defects throughout the nation. As 3rd party experts, one of the most common issues we encounter in the claims process is carrier denial due to improper installation, wear and tear, and lack of maintenance. These building “conditions” that may or may not have existed prior to the loss event are now the number one method utilized by carriers for denying a legitimate claim.
An Ounce of Prevention is Worth a Pound of Cure
Insurance companies often exclude coverage for damages resulting from normal wear and tear, poor maintenance, or what they term as “preexisting damage”. These exclusions are applied broadly across various types of commercial property insurance policies and form the basis for denying 90% of claims filed. The ambiguity in distinguishing between “conditions” that exist at a property including defective design, improper installation of products, failure to maintain a property and general aging of the property from sudden and accidental damage are what lead to disputes and, often, litigation.
Over 85% of the cases that Forensic Building Science is involved in were either completely or partially denied before we became involved. 97% of these were turned back into claims where carriers paid substantial amounts. Avoiding these denials in the future will only get tougher. To avoid these insurance traps and ensure your property remains structurally safe and sound, conducting routine Property Envelope Condition Assessments (PECAs) is crucial. We recommend that commercial building owners and developers, property managers, multi-family, condos, and homeowners’ associations (HOAs) get annual inspections. This also places a marker in time to address the “pre-existing” damage argument that will inevitably be part of the claims process.
What Is a Property Envelope Condition Assessment?
A Property Envelope Condition Assessment (PECA) is a comprehensive evaluation of a building’s envelope and the physical condition of that envelope. It provides extensive detail on your property, identifies potential issues, and estimates future maintenance and repair costs. At Forensic Building Science (FBS), our expert Building Consultants carefully inspect the property’s structure, roofing, interior, exteriors, systems and components to identify the current state of your property.
1. Visual Inspection: Our team conducts a thorough walk-through of the property, inspecting the building’s structure, systems, and components. This includes examining the foundation, roof, and exterior façade, including representative number of windows. [On multi-story buildings greater than 4 stories, additional costs will be incurred for swing stage scaffolding.]
2. Photo Documentation: We take 4K | HD | 3D drone photos and video to show what the property looks like in its current state. [We highly recommend getting new photos every year and after any alterations have been made. This can be crucial evidence down the road should you have property damage.]
3. Review of Documentation: We carefully review available documentation related to the property, such as building plans, maintenance records, and previous inspection reports.
4. Interviews: We may interview property managers, maintenance personnel, and occupants to gather additional information about the property’s condition and history.
5. Assessment Report: After the inspection, we compile a detailed report that outlines the findings. This report typically includes:
- A description of the property’s current condition.
- Identification of any immediate repair needs or safety concerns.
- Estimates of the remaining useful life of major systems and components.
- Recommendations for short-term and long-term maintenance and repairs.
- Cost estimates for recommended repairs and replacements.
Key Components of a Property Envelope Condition Assessment
1. Foundation: The foundation is one of the most critical components of any building, as it supports the entire structure. The foundation is visually inspected for signs of cracking, settling, and water damage, as well as an analysis of the drainage system to ensure proper water flow and management.
2. Structural Integrity: Ensuring a building’s structural integrity involves inspecting its primary components, such as the roof, walls, windows, and doors. These elements must function properly and safely to maintain the building’s overall stability.
3. Roofing: Our expert Building Consultants examine the condition of the roofing system, gutters, downspouts, and flashings for signs of wear and damage, such as damaged or missing shingles, leaks, and cracks. Depending on the type of roof, this will also include infrared scanning.
4. Walls & Ceilings: We assess the exterior walls and ceilings for signs of deterioration, moisture intrusion or damage such as cracks, fractures, and missing or damaged mortar.
5. Windows and Doors: Windows and doors are inspected to ensure they are secure and energy efficient. Common issues can include air leaks, poor insulation, and physical damage, resulting in energy loss and increased utility costs.
6. Floors: We review the flooring condition and assess any maintenance needs.
7. Air and Water Infiltration: We assess the building exterior for air and water infiltration. This includes analyzing insulation, weather-stripping, and vapor barriers to identify areas where energy may escape or water may enter.
8. Stairs and Railings: We assess the safety and condition of stairs, handrails, and guardrails.
Benefits of Property Envelope Condition Assessments (PECAs)
Thorough Documentation
PECAs provide comprehensive documentation, including detailed reports, high-resolution photos, moisture maps, thermal imaging, and 4K/HD/3D aerial drone photography and video. This level of detail is crucial for future insurance claims and resolving disputes.
Structural Integrity
PECAs help identify any structural weaknesses in a building. Detecting and addressing these issues early can help prevent significant damage and ensure the building’s longevity.
Risk Management
By identifying potential hazards or risks before they become major problems, PECAs play a crucial role in risk management. Early detection allows for timely interventions, preventing costly repairs or safety concerns.
Structural Longevity
PECAs address areas of concern and highlight routine maintenance necessary to prevent moisture intrusion, which can lead to structural damage, mold growth, and other issues. Addressing these concerns helps preserve the building’s integrity and extend its lifespan.
Detecting Water Intrusion
A thorough inspection can pinpoint areas of concern where water might enter the building. Undetected water leaks can lead to significant damage, affecting the building’s structural integrity and its contents. If not addressed promptly, these leaks can escalate into major problems, especially during severe weather events.
Safety
Regular maintenance can mitigate safety hazards such as structural collapses and identify any air or water leaks.
Cost Savings & Asset Protection
Adding annual PECAs to your commercial business plan is a must to advance safety, structural integrity, and ensure your assets are protected. These assessments help identify and mitigate risks associated with workplace accidents, which can result in expensive legal fees, lost productivity, and medical bills. Pre-loss inspections identify potential issues early, allowing for timely maintenance and repairs.
Enhanced Energy Efficiency
Regular inspections can reveal areas where energy is lost, whether through inadequate insulation or air leaks. This saves significantly on heating and cooling costs.
Real Estate Transactions
Due diligence is essential in real estate transactions. Whether buying or selling or even getting an appraisal, the inspection provides valuable information, benefiting all parties involved.
Expertise You Can Trust
At FBS, we are dedicated to providing exceptional Building Consultant services that are backed by industry-leading accreditations. Our commitment to advanced and ongoing education ensures that our team remains at the cutting-edge of industry standards. We prioritize excellence and accuracy in every project, delivering results that consistently exceed our clients’ expectations. We provide PECAs to HOAs, property management companies, city, county and state governments, school districts, hotel chains, hospitals, multi-family, condos, commercial developers and builders throughout the U.S. and Puerto Rico. With industry-leading accreditations, unrivaled expertise, and the most advanced technology on the market today, we provide expert inspections that you can count on.
Don’t Delay, Get Your PECA Today! Contact FBS online or call (888) 462-3517 to get started!
