Month: January 2024

The Seriousness of Mould

Mould is caused by the growth of fungi. Usually, it's seen in damp, moist areas, after a water leak, or just areas with little natural light, and poor ventilation.

Mould can start to grow within 24 to 48 hours under suitable conditions and can spread rapidly through a property. Over time, it can cause significant damage to structures and furnishings. If mould gets on fabric, you can almost guarantee that it'll have to be disposed of.

Prolonged exposure to mould can also lead to health issues, especially for those with allergies or asthma.

All in all, mould is a pretty nasty and serious issue that needs to be actioned as soon as it occurs. If not, you could find yourself in a financial pickle as the more mould that's at the property, the costlier it could be to rectify.

For Landlords

Landlords are required to ensure their rental properties are safe and habitable for their tenants. If a landlord manages the property themselves, it's important that the mould is removed promptly. If the landlord has engaged a property manager, this responsibility then falls on the property manager.

For Property Managers

Property managers also have a large responsibility to protect the tenants from health issues that mould could cause, as well as damage to the landlords property. Property managers need to jump onto any report from the tenant that the property contains mould and have it rectified immediately, with ongoing checks to ensure it has not returned. Failure to rectify, or delay repairs, can be a breach of professional duty for a property management business and they could find themselves having to bear the repair costs.

For Tenants

Tenants need to notify the landlord or property manager in writing as soon as the mould is identified to avoid further damage to the rental property, as well as trying to minimise or exacerbate any health issues that mould can cause.

The Issue

A good tenant would notify immediately, and a good property manager would rectify immediately. But what happens when there are delays? A tenant has a responsibility to notify any damages as soon as they are noticed. It is unlikely that if there is escalated costs to repair due to delay that it would be at the tenants expense.

Whereas, if a property manager was to delay rectification, the entire bill could land on their lap. Similarly, if the landlord did not repair the property, the repair costs could increase substantially and they could also have a legal liability issue if the tenant decides to pursue for damages. Damages could include medical costs, time off work, relocation costs etc if the mould caused serious health issues.

The tenants also have a right to break lease if the property is not in a habitable state. This can be quite costly for the landlord as they would have to pay for the advertising costs, repair costs, and lost rental income for any time in between finding another suitable tenant.

Does Insurance cover mould damage?

Mould is an exclusion under insurance policies.

Many insurance policies do not cover mould damage or limit coverage because mould can be a preventable problem. Insurers often view mould as a maintenance issue that property owners should address before it becomes a larger problem.

However, there can be cover considered if the mould is a direct result of an insured event, say a leak from a storm.

Prevention is the key 🔑

• Running an air-conditioning on the dry setting
• Keeping windows open in dark areas of the house if possible
• Fix leaks as they occur
• Use mould resistant paints in wet areas like bathrooms and laundries
• Having extraction and exhaust fans in bathrooms, kitchens and laundries

All in all, mould is a serious issue for property owners, tenants, and property managers. It should be addressed as quickly as possible to ensure no further damages to property, or health issues to occupant occurs. Insurance may or may not cover the remediation costs, which further highlights the urgency that mould represents.

by lauren

The Talent Drought

Why I chose work from home for my next employee

When recruiting for the next position, I decided that I would take the route of a work from home position, rather than an employee in our Brisbane CBD office. Being in the industry for so long, I have noticed that there is definitely a talent drought. The good Brokers have either started their own businesses, or they have the perfect working environment (good salary, work life balance, career advancement opportunities, friends, mentors etc) at their current role, that you couldn't convince them to jump ship even if you offered them a million dollars. It seemed rare to find great talent.

I was nervous at the thought on how long it would take to fill the role, or the level of quality of candidates that would apply.

Fortunately, offering a work from home role was exactly what was needed. Skilled, well known and reputable candidates were interested, from all different states of Australia. Now, I had an abundance of choice. Is this the key to finding great talent during a drought?

The Talent Drought

I can only speculate why the insurance broking sector is facing a lack of skilled candidates for new roles and positions. The industry is lacking younger professionals entering the field to replace the senior Brokers of this generation.

It also could be that industry is not well known of? I know that I've spoken to many potential clients before, and they hadn't realised that insurance brokers existed, or what services they provide.

For the purpose of this, an Insurance Broker is your biggest advocate for your financial security. Lacking sufficient insurance protection can put your business, personal assets, and financial stability in jeopardy. Our role is to provide you with a shield against these risks by providing tailored insurance policies and ongoing support.

The rise of insuretech

Insurtech is a rapidly growing sector that aims to modernise and simplify the insurance experience through technological advancements. The use of AI, automated software, online quote and bind platforms surely will have a major impact on the industry talent.

Other industries/the Gig Economy, and ECommerce

E-commerce and side hussles can offer attractive and flexible work life balance, the potential to earn more income quicker (if successful), and be more rewarding creating something of your own, drawing potential candidates away from traditional fields like insurance broking.

Skills

The job requires a unique combination of sales skills, compliance understanding, and detailed knowledge of a range of insurance products. This can really rule out a lot of potential candidates given it's complexity.

Offshore help

Offshoring can be more cost-effective for insurance brokerages. Lower labour costs mean that they can get the same work done for less money. However, this has a negative impact on the local insurance talent. Instead of hiring younger entry level juniors to do basic admin and assistant roles, allowing for more talent to start a career in insurance broking, these jobs are going to offshores. I can see this having a negative effect on the pool of candidates in the coming years.

To mitigate this talent drought, the industry needs to enhance its image and invest in targeted recruitment to the younger generation and school leavers. I also believe that a more flexible working environment is needed, such as the opportunity to work from home.

What are your thoughts?

by lauren