BT REDCARE ANNOUNCES CLOSURE Putting many Commercial Building & Home Insurance Policies at risk

BT Redcare, a leading provider of Alarm Transmission Systems (ATS) in the UK, announced last month they would be closing the service from 1st August 2025.

Commercial property owners and homeowners with Redcare alarm systems will need to find a replacement before the service ceases operation next August. However policyholders should be aware of their insurance terms which will stipulate the standard of alarm system required.

Many buildings and contents policies require the policyholder to have a monitored alarm system fitted which is of an insurance approved and certified standard. Any replacement alarm system will need to meet or exceed the current standard, otherwise the property owner may not be covered by their policy.

Why do many insurers require an alarm system?

Alarm systems provide extra protection against break-ins, theft and vandalism. Insurers may impose higher premiums, cover restrictions or even refuse to cover a property without an alarm system. Insurers calculate risks to your property based on a number of factors including the security measures you have in place, history of claims and the value of any contents, stock or equipment.

Why are certain alarm standards required?

Higher risk properties are typically required to have a monitored alarm system as these systems are watched over 24/7 by a private security company, who will alert the authorities when an alarm is triggered.

In contrast ‘Bells only’ alarm systems are often not considered secure enough for higher risk commercial properties or buildings as they depend on a third party to take action by witnessing potential criminal activity alerting the police. Often commercial properties are located in areas where it would be less likely that a third party would be around to witness potential break-ins and report to the authorities.

High value properties similarly have an increased risk of break-ins and are more likely to be targets for criminals due to high value contents such as jewellery, collectibles and electronics. Many high value properties are also in more remote locations or situated on larger plots of land, and this distance from neighbours and other third parties also means that a ‘Bells only’ alarm system is rarely considered sufficient for the level of cover required.

What should I do if I have a BT Redcare Alarm system?

To avoid potential issues you should take action early by consulting with your current provider and insurance broker to ensure you are aware of the required standards for your new alarm system.

Security companies may offer replacement alarms which are lower cost or easy to source options but are not considered a comparable product, therefore putting you at risk of not being covered by your current policy.

Policyholders should also be wary of contact from unreputable security companies who may try to contact them offering ‘upgrades’ to their current alarm systems. To avoid falling victim to opportunists you should ensure you only use a reputable company who can provide an insurer certified replacement system of the correct standard for your current policy.

Speak to an expert

If you are unsure if your current level of cover is sufficient for your current property or business’ activities, or are looking for advice on how to manage your risks during the winter months, get in touch. We take the time to understand the unique risk factors for every clients and can advise the best cover to protect your business.

Rebecca Sugden rebecca.sugden@tysers.com 01462 439 849 | 07971 501 757 www.tysers.com