How To Know If A Water Damage Claim Is Preventable

Transcription

1 Water Damage Seminar

2 Introduction Seminar Outline Alarming Statistics Areas of Concern Preventative Measures 2

3 What percentage of insurance claims are from water damage? Approximately 44%

4 What percentage of water damage claims result in a repeat claim within 2 years? Approximately 50%

5 What percentage of water damage claims are preventable? Approximately 93%

6 Why are 50% of the claims subject to a repeat claim. For water entering the home from the outside, the suspected source may not be the actual or main source. For water damage resulting from the interior plumbing, depending on the material this is an indication that subsequent failures will result unless a full replacement of the subject plumbing is completed. The cost to fully assess and implement the necessary repairs can be very expensive.

7 Why are 93% of water damage claims preventable? The majority of homeowners are reactive rather than proactive when it comes to maintaining the home. Insurance policies, in general, do not guard against those homeowners who are reactive when it comes to maintenance. Home owner mentality of That s what insurance is for! Unfortunately insurance coverage is being used as an extended warranty. Homeowners who instead of using qualified contractors perform their own maintenance or use nonprofessionals. Proper maintenance costs money.

8 AVIVA Canada s Water Damage Statistics In 2003, their average water damage claim was: $8,944 In 2013, their average water damage claim jumped to: $20,537 This is a 130% increase. In 2013, AVIVA paid out an additional $190,000,000 in water damage claims over what was paid out in This is a 69% increase.

9 The amount the Canadian insurance industry paid out in 2011 for water damage claims? $1,700,000,000 $1.7 billion

10 Alarming Statistics 44% of insurance claims are water damage claims. 50% of these claims will have a repeat claim in 2 years. 93% of water damage claims are preventable. In 2011, the Canadian insurance industry paid out $1,700,000,000 in water damage claims. AVIVA Canada s 2013 average per incident residential water damage cost jumped from $8,944 to $20,537.

11

12 Areas of Concern Roof Eavestroughs Downspouts Doors and Windows Toilets, Tubs, Showers and Sinks Appliances Hot Water Tank(s) Foundation Sump Pump Plumbing Lines

13 Roof Roofs need to be properly maintained in order to reach their maximum service life. Ensure proper roof ventilation. Safely clear off snow/ice from roof in the winter.

14

15

16 Ice Damming

17

18 Roof Ventilation

19 Eavestroughs The main purpose of an eavestrough is to collect rainwater from the roof and drain it off away from the building s foundations (keep basement / crawlspace dry). Used to prevent the erosion of the soil or ground directly beneath roof overhang.

20

21

22 Downspouts Downspouts are used to carry the rain water and snowmelt collected by the eavestroughs down to the ground (or storm service). Depending on the municipality, there are minimum distance requirements that have to be satisfied; these distance requirements involve distance from adjacent property and distance from adjacent City property.

23

24

25

26

27

28

29

30

31 Problem? It is illegal to divert water onto your neighbour s property.

32 Foundation

33 Doors and Windows

34

35

36

37

38

39 Toilets, Tubs, Showers and Sinks The small and slow drip Any drip, no matter how small and slow, is an indication of a problem and thus needs to be address. Fixtures that drip usually indicates that either washer or cartridge replacement is required. Lines that drip are a much more serious problem and need to be addressed immediately. Supply hoses should be checked for bulging, cracking, fraying and leaks around the hose ends. When replacing, select higher quality hoses to better handle water pressures that can go up to 70psi. Remove and replace deteriorated or cracked caulk and grout.

40 Exterior Hose Bibs Regular hose bibs are susceptible to freezing in colder climates. Ideally all exterior hose bibs should be upgraded to? The freeze resistant type.

41

42

43 Appliances Appliances that utilize water should have their hoses checked for bulging, cracking, fraying and leaks around the hose ends. When replacing, select higher quality hoses to better handle the water pressure of up to 70psi. The base around the appliance should be checked for leaks, discolouration, warpage and soft spots. Replacing hoses every 3 to 5 years is a good proactive maintenance program.

44 Hot Water Tanks Hot water tanks rarely last more than what they are warranted for; these can range from 3 to 12 years. A tank that has a 7 year warranty will most likely fail shortly after the warranty expires. Look for wet spots on the floor or rust on the unit. Units should be installed on the lowest level of the home, next to a floor drain or inside a drain pan piped to the floor drain.

45

46 Sump Pump System

47 Sump Pump Average life span of a sump pump? 10 years. Two key improvements / options? Back-up power source. Back-up unit. Cost ranges from $800 to $1,200 installed.

48 TripleSafe Sump Pump 1. If the 1 st pump fails, the 2 nd one takes over. 2. If the 1 st pump can t keep up with the amount of water entering the system, then it and a more powerful 2 nd pump run at the same time more than doubling capacity. 3. If the power goes out, the battery backup takes over. 4. ~ $3,500 installed.

49

50 Plumbing Lines

51

52 Main Water Supply ~ 70 psi or 5 bar ~ 5,000 litres per hour

53 How many average sized tubs can you overfill in 1 hour (3/8 70 psi)? 22

54

55 How much water would escape from main supply in 10 hours? 264 hot water tanks (50 US gallon) OR Over 14 of standing water over 1,500 SF basement or main floor of home OR Over 42 of standing water over a 500 SF apartment

56 Fresh Water Floods

57 Types of Supply Lines

58 Galvanized Steel Generally found in homes built prior to Rusts forms on the interior resulting in lines bursting. Can not be directly connected to copper lines electrolytic corrosion occurs (must use a dielectric union / coupler).

59

60

61

62

63 How to prevent electrolytic corrosion? Dielectric Coupling

64

65

66

67 ???

68 ???

69 Common loss 69

70 *** Show or give examples of Tim Taylor installations. ***

71 ???

72

73 ???

74 PB (polybutylene) History Invented by Shell in Brought to market in Band by most States in Resulted in a Class Action Lawsuit with a settlement close to $1,000,000,000. CSA approved. Discontinued in Resulted in a Canadian Class Action Lawsuit with a settlement of $20,000,000.

75

76 Problems with PB *5* UV rays deteriorates material. Oxygen permeates through material. This leads to premature malfunction of boilers. Chlorine deteriorates material. Connectors and crimps are a weak link. Crimping device had to be re-calibrated after X amount of uses. Conclusion: Not IF there is a problem but WHEN this problem will show up.

77

78 ???

79 Copper Lines 79

80 PEX

81 What is the link between these two photos?

82 Problems with PEX Failure of PEX plumbing system resulting in a Class Action lawsuit against KITEC. The problem appears not to be with the piping itself, but the all-important KITEC brass fittings used in tees, elbows and other joints. The problem is a process known as dezincification which is a chemical reaction triggered from exposure to WATER! Failed KITEC fittings result in restricted water flow, cause leaks and other problems that can stem from water restriction. Stink Bugs like to eat PEX.

83 Class Action Lawsuit In all of the provinces and territories of Canada: The Ontario Superior Court of Justice has certified a Canadian National Class for settlement purposes only as follows: All Persons that own, have owned, lease, or have leased, and all those who have or may pursue claims through or in the name or right of those who own or have owned or lease or have leased, buildings, homes, residences, or any other structures located in Canada, excluding only the members of the Quebec Class, that contain or have ever contained Kitec Systems manufactured and/or sold by the IPEX Defendants. For purposes of this definition, individuals and entities shall include any and all of the individuals or entities spouses, joint owners, heirs, executors, administrators, insurers, mortgagees, tenants, creditors, lenders, predecessors, successors, subrogees, assignees, subsequent owners or occupants, trusts and trustees, attorneys, agents, and assigns and all persons who are entitled to assert a claim on behalf thereof. For certain owners and lessees in the Province of Quebec, Canada: The Superior Court of Quebéc has authorized a Quebéc Class for settlement purposes only as follows: All natural persons, as well as all legal persons established for a private interest, partnerships and associations having no more than 50 persons bound to it by contract of employment under its direction or control during the 12-month period preceding the motion for authorization (November 27, 2009), that own, have owned, lease or have leased, and all those who have or may pursue claims through or in the name or right of those who own or have owned, lease or have leased, buildings, homes, residences, or any other structures located in Quebec that contain or have ever contained Kitec Systems* manufactured and/or sold by the IPEX Defendants. For purposes of this definition, persons shall include all such individuals and entities and any and all of the individuals or entities spouses, joint owners, heirs, executors, administrators, insurers, mortgagees, tenants, creditors, lenders, predecessors, successors, subrogees, assignees, subsequent owners or occupants, trusts and trustees, attorneys, agents, and assigns and all persons who are entitled to assert a claim on behalf thereof. *Kitec Systems are defined to mean all of, whether as components, individual parts, or as a system, PEX-AL-PEX, PE-AL-PE, PERT- AL-PERT, PEX pipe, valves, fittings, and/or components, manufactured by or on behalf of the IPEX Defendants whether sold under the names Kitec, PlumbBetter, IPEX AQUA, WarmRite, Kitec XPA, AmbioComfort, XPA, KERR Controls, Plomberie Améliorée, or otherwise. Note: If you own, have owned, lease, or have leased buildings, homes, residences, or structures in the Province of Quebec and you have more than 50 employees or are a government entity or legal person established in the public interest, you cannot be part of the Quebec Class, but you are part of the Canadian National Class. For purposes of this website, the United States Class, the Canadian National Class, and the Quebec Class are referred to as the Class. A Settlement Agreement ("Settlement") resolving Class claims in the cases has been negotiated on behalf of the Class by Class Counsel and with Defendants IPEX Inc. and IPEX USA LLC and its predecessor IPEX USA Inc. and IPEX Distribution Inc. (collectively, "IPEX Defendants") and related entities. The Settlement involves a one hundred and twenty five million U.S. dollar (US$125,000,000) Settlement Fund (including attorneys' fees and costs) to be used for the benefit of Class Members to pay for the repair of buildings, homes, residences, or any other structures with a Kitec System.

84

85 Entran II Plumbing

86 Plastic Supply Lines : PB (polybutylene) : O2PB (oxygen barrier PB) Post 1970: PVC (polyvinylchloride) Cold water only Post 1970: CPVC (chlorinated polyvinylchloride) Hot & Cold water Post 1990: PEX (polyethylene crosslinked)

87

88 *** Show or give examples of Tim Taylor installations. ***

89 Drain Lines Pre 1950: Cast Iron Problems in horizontal runs, P-traps and junctions. Not a problem in vertical runs (main stack) this material is making a comeback in high value homes for its sound proofing quality. Post 1950: ABS (acrylonitrile-butadienestyrene)

90 Cast Iron

91

92 Avoid this.. Preventative Measures

93 With this Backflow Valve

94

95 Backflow Valve Costs In 2013 cost was roughly $1,500 installed.

96 Leak Detection Devices Passive System Appliance Leak Detectors Whole-house Leak Detection System Smart Home Technology

97

98 Passive System Passive systems are alarm only detectors. They are relatively inexpensive and should be placed near appliances and fixtures that use water, in the basement and in any other area where you may have a concern about leaks. Generally cost from $10 to $50. Does not shut off water supply.

99

100 Appliance Leak Detectors Appliance leak detectors are connected to specific appliances that could leak, such as a washing machine or a refrigerator with a water dispenser / ice maker. These detectors also issue an alarm, but because they turn off the water to the appliance when a leak is detected they are considered active leak detection systems. Some appliance leak detectors can be installed by homeowners but for best results a professional plumber should be used. Costs start at approximately $170 (unit only).

101

102 Whole House Leak Detection System Whole house leak detection systems provide widespread protection. A shut-off valve is installed on the main water line; the system s primary unit is typically hard-wired to an electrical source to power the valve and a control panel. When a leak is detected, the system will automatically shut off the water supply to the entire home. Moisture-sensing technologies vary by manufacturer and generally are either internal components of the shut-off valve or external moisture sensors that are installed at all appliances and fixtures where leaks can occur. Sophisticated systems can be connected to a home security or fire alarm system. Some models can be programmed to send an electronic message about the leak to you or a security company. Installed costs for a basic system with 4 wireless sensors start at $2,000.

103 Automatic Water Shut Off Valves FloodStop WaterCop FortrezZ Floodmaster ValveSentry AquaTrip

104

105

106 Products Starting at $199 plus installation

107 Features of the AquaTrip monitors ALL water flow over time, from as little as 30ml per minute. The unit is pre set for 25 minutes of continuous flow into their property, without any break in the flow. ( NOTE: this time can be adjusted ) If the water flow time ever exceeds 25 minutes, the AquaTrip will activate. If no flow is registered for 24hrs the unit automatically enters Home/Away mode for greater protection AquaTrip has intelligent Peak flow and low flow settings / Exclusion Period Override Big gathering/yard work/ need more water? Override allows 2 hours of unprotected flow and will reset to the original settings automatically after 2 hours Easy to use, one button operation. A child could operate one. Simple override in the unlikely event of unit failure. Stand alone system needs no wiring and runs on a common 9v battery.

108 The in action Image 1. Image 2.

109 Smart Home Water Sensor

110

111 WallyHome System Key Features MONITORS WATER, TEMPERATURE AND HUMIDITY Wally detects water leaks as well as changes in temperature and humidity in your home, saving you the expense and hassle of costly water damage and mold remediation. ALWAYS SENSING SILENTLY Wally constantly and silently monitors the health of your home, only alerting you when there s an issue that needs to be addressed. KEEPING YOU IN THE KNOW Receive instant alerts via SMS text message, , and push notification when a water leak is detected, or a temperature or humidity reading is outside the normal range of your home. LONG BATTERY LIFE Enjoy a decade of maintenance-free peace of mind. Using ultra-low power technology, Wally eliminates the power burn required by Wi-Fi or Bluetooth and lasts over 10 years with no battery changes. SMALL AND CONVENIENT SIZE Wally sensors are small enough to fit in the narrowest of spaces so you can place them in all areas of your home. SET UP IN A SNAP Get coverage for your whole house in under an hour. Simply place wireless sensors around your home, connect them to the network using the Wally app, and just like that - your home is protected.

112

113 THE END