ABACUS Exposed November 2019

What’s New? ABACUS is Evolving

Broker Spotlight

Philip Beckett The Insurance Centre

Issue

November 2019

24

Introduction

ABACUS is EVOLVING ABACUS has been evolving continuously for over 20 years and we’re excited to tell you about the next evolution which is to provide you with more functionality for existing policies while preserving everything that you know and love.

The ABACUS website has always been, and will continue to be, the best platform to quote and incept Property Owners business and now we’re introducing the ability to view/download all documents issued for your ABACUS policies. Access to the document history of your ABACUS policies is now available to you, 24 hours a day.

No aspect of your existing ABACUS experience is changing. This and every future evolution linked to it is contained behind a single “click” from your current ABACUS Homepage, our Incepted Policies button.

Behind this button will be all policies your brokerage has incepted with ABACUS, it doesn’t matter whether they’re currently Live, NTU’d, Lapsed or Cancelled, they were originally incepted so they’ll be there!

Hi The incepted policies tab on our website has now been live for over a month and we hope you are finding it easy to access your new and historic documents.

The next phase has finished testing and you will start to see more functionality shortly (those of you that know me understand how exciting I find the IT bit). Included in this edition we have a renovation insurance FAQ which we are happy for you to share with your clients, a reminder of the benefits of our portfolio product, and other useful articles.

Special thanks go to Philip Beckett for his input in this edition. I hope that you will read this and consider supporting his charity work raising awareness of Scleroderma & Raynaud’s UK, in memory of his daughter Lauren.

Richard Burgess, known to many of you, will be writing this introduction in the future so, for the last time, thank you all for your continued support and have a wonderful festive season and a healthy, profitable New Year.

Kind regards

Nick Blunden Director

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Previous Caption Competition Winners

The winning caption was from John Ainsworth of Ribble Insurance:

This is the tracing bit – just wait to see what he does for the access…!

2nd prize goes to Michael Curry of MAPPS:

‘Is this what they mean by Trace & access cover?’

3rd prize goes to David Knott from Nimmos Insurance with:

‘Trace and access using divine intervention’ Well done to our winners and thank you to everyone who entered! We look forward to receiving your entries for this edition’s competition.

ABACUS Caption Competition We have some great prizes up for grabs in our everpopular Caption Competition. The prizes for the top three entries are:

1st £ 50 Voucher of your choice Can you come up with an even funnier caption for this image?

2nd £25 iTunes Voucher 3rd £10 Next Voucher

To be in with a chance, simply send your caption entry for the photograph above to robing@sabacus.co.uk Friday 13th December Good Luck Everyone!

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News round up Here is a quick round up of news relating to the let property industry …

Invest in buy to let near a university Looking to maximise your rental returns? Then look for towns and cities that have a sizeable student population.

A recent posting on the website Property Reporter found that the postcodes for the top 20 best buy to let rental returns in the UK all share one thing in common. They all have within them or are close to a university campus. A survey looked at the total 12 monthly rental income generated within each postcode and divided this by the average price of property in the area. The rankings revealed that: l postcode BD1 in Bradford, just a short walk from the university, where the average property costs £54,938 and realises an average monthly rental of £468, came top of the list, with a yield of 10.2%; l Sunderland’s postcode SR1 came second with a yield of 9.4%; l closely followed by L7 in Liverpool where buy to let returns are an average 9.3%; l other postcodes in the top 20 included TS1 (Middlesbrough), DN31 (Grimsby), EH8 (Edinburgh), and CF37 (Pontypridd).

Confidence in buy to let businesses slumps Landlords’ confidence in the prospects for their buy to let businesses has slumped in the second quarter of this year, according to a report by the National Landlords’ Association (NLA).

Previously holding reasonably steady at around 35% of landlords believing the prospects were good or very good, that figure has now slumped to just 29%. This is the lowest confidence has been since the final quarter of 2006.

Reasons given for the decline in confidence include the loss of income tax relief on mortgage interest repayments and changes to Section 21 nofault evictions. Confidence has reached its lowest in Central London (19%) and the North East (18%) but remains relatively higher in Yorkshire, the Humber and the Midlands at 34%.

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News round up Here is a quick round up of news relating to the let property industry …

Renovate to add value By refurbishing and renovating your property, you may increase both its capital value and rental yield – without having to move or invest in alternative buy to let property.

That is the conclusion reached in a survey recently reported by Landlord Today, which found that 15% of homeowners are choosing renovation of their existing property rather than selling and buying in an unpredictable housing market. From adding extra bedrooms, building loft extensions to upgrading the kitchen, the survey considered the building works most likely to add value: l in some parts of the country, for example, property owners were able to add up to 50% on the value of a home by creating an extra bedroom; l a loft extension or a refurbished kitchen may add as much as 8%; l simply upgrading your central heating system or renewing the boiler might add 2%.

BUT... l renovating a garage or storage area or installing solar panels are likely to increase the value of your home by only 1% and 0.5% respectively.

Rent or buy?

The BBC has published a new online calculator designed to show at a glance those areas of the country in which you can afford to buy – and considers whether it might be cheaper to rent than to buy.

Whether your preference is to buy or to rent, simply indicate how many bedrooms you need in your home, the deposit you have available, and the amount you can afford to pay each month.

The “where can I afford to live” calculator then suggests areas of the country which fall within your budget and you may see how those costs compare according to whether you want to buy or rent.

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& Q insurance FAQS A

Renovation The following article can be shared with your customers to help them understand what renovation insurance does and when they may need it.

I am carrying out works on my property - does my buildings insurance cover me?

It depends a lot upon what the works are and their exact nature.

Your property insurance typically won’t be affected by what might be termed minor works. For example, redecorating your living room or replacing some loose guttering would be typically considered by most insurance providers to be minor works and therefore, covered by your standard home or landlords insurance policy.

l u noccupied properties undergoing loft conversion, extensions etc l p roperty owners liability insurance up to £2m included l theft and fire cover.

There may also be exclusions to the cover. For example, the policy may not cover the actual works themselves and subsidence cover is excluded if structural works are being carried out.

Why do I need renovation insurance?

Broadly speaking, renovation insurance applies in situations where your insurance provider considers that the nature of the work you’re undertaking will significantly change the risk profile of your property while it is underway.

That typically involves the building standing unoccupied for extended However, once any such work becomes periods (though not necessarily in all cases). seen as substantial, your insurance provider may require a different type To give an illustration, in a situation of cover to be in place to ensure that where you and your family vacate your interests are fully protected. For a property during renovations, the example, any work that would require buildings may be statistically at a you and your family to vacate the higher risk of unauthorised access, property while it’s undertaken would with all the potential issues that brings probably come under the category of with it. This is even the case if you have major work. tradespeople working in the property

What is major work?

during the day – the property is still classed as unoccupied.

There is no single all-embracing answer If you are a landlord, the same thing to this question. might apply in situations where you ask tenants to move out while the You should read your policy’s terms work is undertaken or have decided and conditions carefully to see how it to delay letting for a similar reason. defines the various types of work you Durations can also be a consideration might undertake on your property. If here. In some cases, your standard you are in any doubt, contact your policy might continue to provide cover insurance provider in advance. but only for a specified maximum number of days.

What does renovation

insurance cover?

Policy features and benefits will vary depending on your product provider.

However, typically a policy may cover: l structural and non structural work

The cover itself might include additional elements such as: l the risks arising from having builders and other tradespeople on your property (thereby changing your third-party liability exposures);

l p otentially dangerous machinery operating in and around your property and so on.

There are a large number of variables and possible combinations of situations here and the specific cover provided by one form of renovation insurance to another will also vary by individual policy and provider.

I am not sure how long my renovations will last – is this a problem?

Insurers understand that sometimes renovation works can take longer than originally planned and typically offer flexible terms of cover. Because it is temporary cover, you may be able to purchase cover for periods of less than the full 12 months normally required for other forms of general insurance.

If the works are scheduled to last just three or six months, renovation insurance may be tailored to cover just this period – yet also remains sufficiently flexible to be extended if unexpected delays or hold-ups occur.

Do I need planning permission for renovations?

Possibly. Typically planning permission applies in most situations where you are proposing doing something new. For example, if you are adding a conservatory that is over a specified length, you need planning permission.

Likewise, converting a single property into an HMO typically will require planning permission.

New rules also came in to force in May 2019 that allow additions to terraced and semi-detached homes up to 6m, while detached houses can add even larger structures, up to 8m long without full planning permission.

If you contact your local authority, they will normally be able to provide you with specific advice applicable to your individual situation.

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Social proof

what is it, and how can I use it?

In essence, social proof is providing users with other people views and opinions on your products. In the old days, we used to call this sharing testimonials, but we now want many more ways of interacting, collecting and displaying customer feedback.

Providing your potential customers with feedback from previous and existing customers is a great way to build up trust during the sales process.

According to HubSpot even back in 2012, they were suggesting consumers were 71% more likely to make a purchase based on social media referrals.

With this in mind, here are a couple of ideas to grow and display your social proof to encourage your potential customers buy your products.

Testimonials page Add a testimonials page to your site, but don’t simply a type out of the best parts of a customer quote. Did they handwrite you a letter? Then why not scan it and display it (removing all personal details of course)? Or, ask if you can use full customer names - A.S. from London is a bit weak these days.

Social platforms Want a better way to collect and display and collect testimonials? Ask for them. On your product purchase confirmation pages or email send them links to your testimonial collection hubs. Here are two freebies you can use right now: Google MyBusiness allows you to ask and collect and then display review feedback in your Company Page. In fact, we are seeing listings with reviews tend to do better and get more traffic.

Facebook – Some Facebook company pages also allow you to post reviews.

With both of these services, you can then add links to them on your website or product pages using language such as “See what existing customers think of our service.” In this way, potential customers don’t have to take your word for it. Plus it is self-managing – all you need to do is grow the reviews.

A quick detour – the bad review!

Nine times out of 10, there will be the odd customer who is not happy and will voice this. This is a risk, but the upside of having social proof outweighs this risk.

So, what should you do with a genuine bad review? Deal with it in public.

Don’t ignore or delete it. Answer it – in this way, you can turn a negative into a positive by responding and showing that you are customer-focused.

This kind of display has proven to reduce click costs in Adwords and driven more traffic/sales for the same spend.

We use and recommend Feefo as a paid-for service that will take all of the strain to automate and grow your reviews and reduce your ad costs Use the contact form and add Feefo in the comments section, and we can help get you set up with a free trial.

This trial only shows you the data and reviews – they are not published so you can get an idea of how it works.

Plus you can get comfortable with how it works.

There is also Trustpilot and Reviews which you can use. In this day and age, it is worth trying to build reviews and customer feedback in as many relevant places as possible. We suggest a review service, then Google and Facebook.

More ways to get reviews Now that’s out of the way, there is another service that can take your social proof to the next level by integrating it on your site, sharing it on Google and getting Google to display your reviews as stars in your PPC or site listings in natural search.

You will have seen them appear in search results or in pay per click ads like this.

Summary There has never been a better time to collect and display social proof as a way to help customers make purchasing decisions. Econsultancy also suggests that insurers and brokers look to add social proof extensions to their site to help with trust and making the sale Reviews and testimonial quotes can also be then used in social media imagery and in your ad copy.

Make sure you squeeze as much value out of these things as possible.

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Product exposed

Portfolio Properties Insurance Our Portfolio Properties insurance product offers what we believe are great benefits at a cost-effective price. Plus, one policy can cover an unlimited amount of properties, providing one easy renewal date for your client.

Here is a quick refresh of our ABACUS Portfolio insurance …

Who is the product for?

Our Portfolio Insurance product is for anyone who owns more than one residential and / or commercial property. We cover all types of residential and commercial premises (including mixed-use) - for example: l Houses

l K eys/Locks Replacement Cover due l Legal Protection to Theft l Terrorism. l Accidental Damage to Fixed Glass cover and Sanitary Ware Plus … with our Property

l M alicious Damage by tenant (up to Portfolio Insurance £25,000) l E asy to get a quote - simply email l Property Owners Liability up to in the details and we will get back £10,000,000 to you l Subsidence (standard with l We aim to turnaround all referred/ residential properties, optional non-standard cases within 2-4 with commercial properties) hours. However, to obtain a better

l Shops/Offices

l L oss of rent and alternative accommodation in respect of residential buildings as standard, optional on commercial properties

l Surgeries

l Contents of Common Areas Cover

l Restaurants/Cafes/Takeaways

l Damage to Underground Services

l Public Houses/Wine Bars

l Trace and Access Cover (claim limits apply)

l HMO’s l Blocks of Flats

l Industrial Estates l Warehouses l Manufacturers l Wholesalers l Motor Trades l Vacant Properties l Commercial Properties including part residential.

What does it cover?

l L andlord Contents of Residential Accommodation – £25,000 any one premises with the option to increase.

Optional extras can also be included, meaning the policy can be tailored to meet your clients’ individual needs.

Optional extras l Landlords Contents

Our policies cover all the standard l Loss of rent and alternative risks associated with let residential accommodation in respect of and commercial property insurance commercial buildings only – up to including many elements of 20% of Buildings sum insured protection which some other Portfolio l Loss of Rent for non-residential insurance from other providers buildings exclude (e.g. subsidence and trace and access cover as standard): l Employers’ Liability l Standard perils (fire, flood etc.) l E scape of Water l Theft

l Subsidence, Ground Heave & Landslip for commercial buildings l Accidental Damage to Buildings l Accidental Damage to Contents

rate or a more urgent turnaround, please contact our friendly and professional New Business team on 01702 606304 for help fulfilling your clients’ needs.

Why ABACUS Portfolio Properties insurance?

We are proud of our Portfolio Insurance cover as not only does it offer, in our opinion, fantastic cover and great value and choice for your customers, but it offers you - our brokers - many benefits too: l R PO/CPO risks under one policy l Tailored policy wording specifically for Portfolios l Tailored documentation from quote to schedule l Access to specialist underwriting teams for portfolio risk l Up to 25% commission l Cost-effective, flexible cover to meet your customers’ own unique needs.

Help and support readily available from our Sales & Marketing Team Customer + Broker + portfolio properties insurance = ABACUS

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Broker Spotlight

The Insurance Centre – Philip Beckett 1. Tell Us About Your Brokerage.

6. What is your favourite food?

Love a good curry.

Our brokerage is based in lovely Norwich and looks to do local business with local people but with a 7. What is your favourite drink? couple of niche areas.

I find a Brandy & Coke goes down a 2. What are your plans for the next little bit too easily sometimes. year?

Our plans are to grow through networking, word of mouth and organically.

3. Why do you support ABACUS?

We support ABACUS as they have great policies, easy to transact with great cover and competitive premiums.

4. What is your favourite sports team?

Manchester City supported them ever since the days of Colin Bell, Francis Lee. 5. What hobbies do you have?

Gym, walking. cycling and eating/ drinking.

8. What is your favourite holiday destination?

Balearic Islands - best holiday place there is.

9. Tell us about some of the additional work you are doing?

Lauren’s Charity Fund - I raise money in my daughter’s name for Scleroderma & Reynauds UK , Lauren passed away last Easter aged just 28 from Scleroderma this rare auto immune disease she didn’t know she had until admitted to hospital then 3 weeks later she passed away. We have raised money since last April 2018 some £31,000, and what I would like is if someone reads this little piece and can help me raise more for this relatively small charity that would be fantastic.

Don’t forget your free poster packs and pens!

As a reminder, we have several promotional materials available for our Brokers to use in their offices. These are full, A2 sized (420 x 594 mm / 16.5 x 23.4 in) posters for your brokerage window or walls.

There are six posters available, which we will print and post out to you, free of charge, plus ABACUS-branded pens.

You can view the posters here

Contact Information Accounts

Claims

Sales and Marketing

Existing Business

Tel: 01702 606 320 Email: accounts@sabacus.co.uk

Tel: 01702 606 312 Email: agency@sabacus.co.uk

Tel: 01702 606 311 Email: claims@sabacus.co.uk

New Business Team

Tel: 01702 606 304 Email: newbusiness@sabacus.co.uk

Tel: 01702 606 306 Email: existingbusiness@sabacus.co.uk

The information contained above is not intended as legal or broking advice. Specific advice should always be sought on individual requirements and it is always necessary to read the contractual documentation for full details of the product and cover provided.

This newsletter is managed by ABACUS, the content including all views and expressions are those of ABACUS. ABACUS is one of a range of products marketed and distributed by BLINK Intermediary Solutions. ABACUS is provided by Alan Blunden & Co Limited, Baxter Building, 80 Baxter Avenue, Southend on Sea, Essex, SS2 6HZ. Alan Blunden & Co Limited is authorised and regulated by the Financial Conduct Authority.

Full details of FCA authorisations can be found at www.fsa.gov.uk/register Produced by iamyourdesigner - 07969 663 847 | 1992

ABACUS

Baxter Building 80 Baxter Avenue Southend on Sea Essex SS2 6HZ Tel: 01702 606 300 Email: info@sabacus.co.uk Fax: 01702 606 369