Clinical record keeping is unfortunately one of those dreaded risk management topics. Guild Insurance understands that it isn’t the most interesting topic for health practitioners to spend time thinking and talking about. However, it’s incredibly important, and Guild’s experience suggests many health practitioners would benefit from learning more about good record keeping.

Clinical records and insurance claims

Clinical records can impact insurance claims in two ways:

1. Poor records which lack detail can lead to incorrect clinical decision making and poor clinical outcomes for the patient and therefore patient complaints.
2. Poor records may make a complaint, and therefore an insurance claim, difficult to defend due to the lack of evidence.

Why keep detailed clinical records?

1. Continuity of patient care

It’s not uncommon to hear health practitioners claim they can remember the details of patient consultations. However at Guild, we regularly see examples where practitioners haven’t remembered key aspects of prior consultations and treatment, and this has led to a poor outcome for the patient. It’s therefore imperative to have this information recorded to ensure certainty as to how and why you’ve treated a patient in the past.

It’s also important to be sure you refer to the information within the patient’s record. Patients can suffer harm when information, such as allergy details, is overlooked or forgotten about and therefore the patient isn’t treated accordingly.

2. Regulatory requirement

All Australian Health Practitioner Regulation Agency (Ahpra) regulated practitioners need to be well aware of their many regulatory requirements; good record keeping is one of these. Each profession’s Code of Conduct contains information about a practitioner’s obligations and requirements regarding record keeping. Several Ahpra National Boards have also created a separate document on guidelines for clinical records which further explains what’s required.

It’s the responsibility of every registered health professional to make themselves aware of and comply with the various codes, guidelines and policies relevant to them. Not knowing is not an excuse for not complying.

3. Defence of a complaint

If there’s any allegation of wrong doing made against a practitioner, their records are going to be incredibly important. Those records provide evidence of what took place and why. Without this, the practitioner will be relying on their memory as a defence. Information recorded at the time of the consultation is going to hold greater weight as a reliable defence than a practitioner’s memory months after an event. As the saying goes ‘Good records = good defence, poor records = poor defence and no records = no defence’.

4. Funding audit

Funding providers, such as private health insurers, regularly review the rebates they pay for healthcare and can conduct audits to be sure health practitioners are billing appropriately.

It’s not uncommon for a health practitioner to receive a request from a funding provider to produce clinical records to justify their billing practices. This is another example of when a practitioner needs documented evidence of what they’ve done and why. If the reasons behind treatment, and therefore billing, isn’t clear, funding providers can demand repayment.

Record keeping requirements

What to record?

The key question many health practitioners ask when it comes to clinical record keeping is ‘how much detail do I need to record?’. Practitioners should refer to their Code of Conduct, as well as the guidelines on record keeping if one exists, to better understand the detail required in a clinical record.

Exactly what to include can vary according to the type of health profession as well as the specifics of the patient’s condition and treatment. However, generally records should include, but aren’t limited to:

• Patient identifying details and contact information as well as health history
• Name of the consulting practitioner and the date of the consultation
• Reason for the patient presentation
• All examinations and investigations conducted and their results, even if there is no abnormal finding
• Diagnosis and treatment plan
• Consent to treatment
• Treatment provided and the patient’s response
• Any items supplied, or instructions given, to the patient
• Referrals to other health professionals

In some cases, it’s worth noting what didn’t occur as well as what did. For example, if a patient has refused to consent to what would be considered the most ideal or obvious treatment option, the record should reflect that it was discussed and declined. If it’s simply left out of the record, it would appear that it wasn’t discussed as a treatment option.

When a practitioner is unsure if they have included enough detail, they should ask themself whether or not another practitioner could read the record and understand the full picture of what took place and why, without the treating practitioner filling in any gaps. If the full story isn’t there, there isn’t enough detail.

Professional and objective

Clinical records need to always be professional and objective. Negative comments about the patient can be included, however, this must be professional and only when this is relevant to the treatment being provided. This may occur in situations where the patient isn’t complying with instructions and this is detrimental to their health. However, it’s important to remember that clinical records can be accessed and read by a number of people, including the patient and your regulator, so always be mindful of the language used. The language used should match the professional language a health practitioner would use when speaking to the patient during a consultation.

Using Artificial Intelligence

As with many other parts of our lives, the use of artificial intelligence (AI) is creeping into record keeping practices more and more all the time. And while there are numerous potential benefits of using AI, there are also risks that health professionals need to understand and manage. The first step in this requires practitioners thoroughly research any AI tool they intend to use and be sure they understand how they work, particularly in relation to the storage and use of information input into them.

The task of creating appropriate clinical records can’t be left to AI; practitioners must be sure they review any AI‑generated information to be sure it’s detailed and accurate. And when doing this they must keep in mind that AI isn’t perfect; it will at times leave out important information and even make things up. It’s also important to be sure patients are aware of the use of AI. When patient data is being input into an AI tool or if consultations are being recorded, informed consent is a must.

For further information about the use of AI in healthcare, refer to guidance available from Ahpra that can be found at www.ahpra.gov.au/Resources/Artificial-Intelligence-in-healthcare.

Disposing of records

There’s no requirement to dispose of clinical records, and from a risk mitigation perspective, it’s advisable to keep them for as long as you can.

In New South Wales (NSW), Victoria and the Australian Capital Territory (ACT), it’s required that records for an adult patient are kept for 7 years from the last date of entry. For a patient who was under 18 years of age when the last record was made, those records need to be kept until that patient turns 25 years old. Other states and territories don’t have specific legislation regarding time frames for keeping health records. However, it’s recommended that practitioners in those states and territories adhere to the requirements for NSW, Victoria and ACT.

There’s varying legislation across the different states and territories regarding processes to adhere to when disposing of records. It’s recommended practitioners make themselves familiar with what’s required, if intending to dispose of records, and seek independent legal advice if needed or speak to your professional association.

Artificial turf or grass is, understandably, commonly used in early learning services. This turf can look lush and green all year round without watering or cutting. However, it isn’t necessarily the perfect and simple outdoor solution some of us may think or wish it was. Unfortunately, Guild Insurance sees numerous cases of poorly laid and/or maintained turf which can become damaged over time. This damage can include raised and uneven surfaces, curled edges and rips and tears. Not only does this look unsightly, but it can also create an unsafe surface which could lead to trips and falls and therefore injuries.

Installation

Incorrectly installed turf is likely to lead to issues and complications down the track. This can lead to insurance implications as your policy will not cover you for damage resulting from defective design or faulty workmanship. So, start off on the right foot by having turf installed by a reputable installer who’ll provide a certificate of compliance that supports the Australian Standards with respect to turf preparation and installation.

Be sure the manufacturer’s guidelines are followed when installing turf.  Also, make yourself familiar with the specifics of the warranty provided and retain all documentation and/or information, including receipts, for the installation.

Drainage

Ensure that your turf installation includes appropriate drainage, installed by a suitably qualified plumber.  And be sure existing drains aren’t covered or impeded by the turf and that the directional flow is appropriate for the lay of the land.

Turf without drainage leads to future problems and causes the “fill” under the turf, (also often known as substrate or base), to shift and leach out causing the substrate to wash away.  This can happen quickly during periods of heavy rain and/or storms, and it can also happen gradually over time due to prolonged exposure to the elements. If the substrate/base material was incorrectly prepared to receive the turf and provide drainage for rain and or storm water run-off, this may cause damage to the turf and nearby buildings.  This damage may not be covered by insurance due to faulty design or workmanship.

Maintenance

Artificial turf can seem like an easy option over real turf due to less maintenance. However, maintenance is still required, and the installer’s or manufacturer’s maintenance instructions must be followed to prolong the life of the turf and protect your investment.

Regular checking for wear and tear, or other types of damage, is essential. As is the continual removal of any debris which could impact drainage. It’s also worth occasionally having the turf inspected by professionals who’ll know what damage and drainage issues to look for.

If damage to artificial turf is identified, it’s important to act on this as soon as possible. Putting it off will likely lead to further damage, making repairs more costly.

Again, keep records of all maintenance carried out, with details including what was done, when and by who.

Making a claim

Artificial turf doesn’t last forever, and damage over time may be normal “wear and tear” that’s not covered by your insurance; but other causes of damage, such as fire or storm, may be.

If you hold a Guild Early Learning Business Insurance policy, and you think you may have a valid claim for damage to your artificial turf, or you’re just not sure, contact us first and hold off authorising any repairs until we have approved your claim. 

There are many parts of Australia that experience high humidity. For some people who love the heat, these can be great places to live and work. However, unfortunately, these humid environments aren’t without risk as they can cause significant damage to buildings.

Mould and Ghosting

Mould – most of us would be somewhat familiar with mould, which is a type of fungi. It grows well in damp environments, especially when there’s poor ventilation. It can grow on many surfaces found in homes and workplaces such as carpets, timber, and walls. Mould can take on different appearances; it’s most commonly black, green, or white and can look like a stain or discolouration.

Ghosting – this is a term many people would be less familiar with. Ghosting is a build-up of soot and dust particles on walls and ceilings that appears as dark stains. Moisture in the air also contributes to this occurring.

What Are the Impacts?

Other than looking unsightly, ghosting doesn’t have the same detrimental impact of mould. Ghosting doesn’t pose a health risk to people, and it’s relatively easy to clean. However, if the cause of the ghosting isn’t dealt with, it’ll most likely reappear.

Mould, on the other hand, can in some instances bring significant risk to both the physical building and the health of people in that building. Cleaning away mould can be done, however the success of this depends on the extent of the mould. Professional services are available to assist with this. However, if the mould has significantly impacted and damaged materials, such as plaster on walls or carpets, these will often need to be replaced. And as with ghosting, the cause needs to be addressed to prevent its recurrence.

Mould produces tiny particles called spores. These spores are carried in the air and can cause and exacerbate respiratory issues in people. When exposed to mould, people may suffer from a runny or blocked nose, sneezing, coughing, allergic reactions and worsening asthma. Those at high risk of these conditions or with weakened immune systems need to be particularly careful around mould and it’s advisable they don’t attempt to remove it themselves.

What Causes Mould and Ghosting?

As mentioned earlier, damp, humid environments are ideal breeding grounds for mould and ghosting. Therefore, some locations are more prone simply due to the climate of that location. Certain times of the year will also contribute to increased humidity in the air.

However, mould and ghosting can occur in any location if the conditions are right. Significant rain, especially if it’s led to flooding, will increase the moisture in the air, even in locations that aren’t typically humid. Poor ventilation and airflow also increases the likelihood of mould and ghosting forming.

Mould and Insurance

Due to the damage caused by mould, it’s common for property owners to look to claim on their insurance when this damage occurs. However, insurance generally won’t cover mould build up and damage.

Sometimes, water entering the premises due to an insured peril or event may cause mould which could be covered, however it’s important to check your policy to determine the level of cover provided. Mould damage caused not by direct contact with water, but moisture in the air will generally not be covered.

Therefore, the importance of preventing mould building up and the damage it causes can’t be underestimated.

Tips for Preventing and Managing Mould and Ghosting

• Be aware of the humidity in your location. This can vary and typically low humid environments can go through periods of high humidity.
• Be mindful of the impact of high rain and flooding on humidity, and therefore moisture in the air. Flood waters don’t need to have entered a premises for moisture to be in the air, an increase in water in the surrounding environment can cause this.
• Always be on the lookout for mould, as it can build up quickly.
• If mould is found, action it immediately before it spreads out of control.
• Cleaning mould and ghosting isn’t enough, you need to address the cause, so it doesn’t continue to appear.
• Consider using a professional service to clean mould, especially if you’re at an increased health risk.
• Opening windows for fresh air isn’t recommended in humid environments as this simply allows the humid, moist air to enter the premises. Air conditioning with windows closed is necessary to reduce humidity inside.
• Consider other ways moisture gets into the air inside and what can be done to reduce or eliminate this. For example, bathrooms should have fans installed to reduce steam build-up during showers. The use of clothes driers and stoves can also lead to steam in a property.
• There are numerous products on the market that remove or absorb dampness from the air. These can be purchased from a range of stores and are designed for placement around a home or other premises. These products have a limited lifespan; follow instructions regarding how often they should be replaced.
• If a property is being locked up for a period of time, such as a vacant holiday home, consider what can be done to limit the humidity inside during this time. Can someone visit the premises to replace moisture removing products? Can an air conditioner be turned on occasionally using a timer?
• Finally, don’t underestimate the risk or impact of mould and ghosting. Taking preventative steps before it occurs can save a great deal of hassle and inconvenience down the track.

Download the pdf here.

Bushfires are an unfortunate part of life for many people and businesses in Australia and the devastation they cause can be catastrophic. Sadly, the recovery from bushfire damage is often not as quick as people would hope and this can have significant consequences for businesses.

We can’t prevent a bushfire from occurring, but we can take steps to reduce the impact. The following tips will assist business owners and their staff be better prepared for a bushfire and better able to prevent or reduce impacts to the business. They’ll help you get back on your feet and trading again sooner.

Pre-bushfire Planning

• Make yourself aware of the bushfire risk and likelihood for the location you’re in. If new to an area, engage with others who live and work there to understand the bushfire history of that area.
• Have an evacuation plan and ensure all staff are familiar with this. It should include details on the likely warning timeframes and fire refuge areas or meeting points. Again, engage with others in the area as well as fire authority’s to assist in creating a safe plan.
• Prepare an emergency kit that allows access to important information, equipment or tools. There’ll be occasions where the damage to a building is so great that it can’t be safely entered. Therefore, business owners must consider what they’ll need to access to both deal with the damage caused (such as insurance details and an asset register) and maintain business operations as much as is possible.
• Have your data and any business information which is stored electronically backed up in a way that can be accessed off site. This is important if the premises can’t be accessed or if information has been lost due to power shortages. Alternatively, consider cloud hosted storage solutions to protect your data.
• Ensure your business’ asset register is up to date. A detailed asset register means the process of an insurance claim is much faster and hassle free.
• Discuss insurance cover, including business interruption, and its costs with your Guild Insurance Account Manager or insurance adviser and ensure you understand the financial protection afforded to you in the event of a bushfire.
• Don’t store flammable materials close to your premises and manage the vegetation around the premises.
• Develop a business continuity plan that will detail how you’ll manage your customer needs as well as your business and financial needs immediately after a catastrophic event. Thinking about this before an event can make the immediate impact and stress more manageable.
• Given there’ll likely be high demand for many services and trades, it would be wise to create a list of local services before there’s an urgent need. Utilise the knowledge of your local real estate agents; they can be a great support for putting you in touch with local trades and services.

Planning When a Bushfire Is Imminent

• Don’t be complacent when there are bushfire warnings. Bushfires not only cause significant damage to buildings and other material possessions, but sadly they can lead to loss of life. Listen to all local advice and don’t delay evacuating.
• Have a plan for where and how you’ll access local and current advice when a bushfire is approaching, to be sure you can make the most appropriate decisions regarding when to evacuate.
• Follow advice from local fire services regarding how to prepare your premises when a bushfire appears likely.
• When evacuating a building, where possible turn off the gas and electricity supply. Be sure you know how to do this ahead of time.

Post Bushfire Response

• Go to the Claims page on the Guild Insurance website: www.guildinsurance.com.au/claims to notify us of any loss or damage suffered and obtain a claim number. You can also contact your Guild Insurance Account Manager, who can assist you to obtain a claim number if you are unable to access the internet.
• If you begin the clean-up yourself and wish to dispose of any damaged and unsalvageable items, ensure you take a photo of these items first, and keep a list of what’s been thrown out, to assist with your insurance claim.
• Our Claims team can determine who’s best placed to assist you. This could be a restoration company, a loss adjuster or a builder. We can also help you to prioritise any work that needs to be done. You can contact our claims team by calling 1800 810 213 and quoting your claim number.
• Following natural disasters, there’s often government support available to assist in the recovery. Be sure to stay up-to-date on what’s available from your local, state and federal governments.

Download PDF here

Storms are an unfortunate part of life for many people and businesses in Australia and the devastation they cause can be catastrophic. Sadly, the recovery from storm damage is often not as quick as people would hope and this can have significant consequences for businesses.

We can’t prevent a storm from occurring, but we can take some simple steps to reduce the impact of a storm. The tips below will assist business owners and their staff be better prepared for a storm and better able to prevent or reduce impacts to the business. They’ll help you get back on your feet and trading again sooner.

Pre-storm planning

• Make yourself aware of the storm risk and likelihood for the location you’re in. If new to an area, engage with others who live and work there to understand the storm history of that area.
• While evacuating during a storm isn’t common, it can sometimes be necessary. Therefore, it’s recommended you have an evacuation plan and ensure all staff are familiar with this. It should include details on the likely warning timeframes and any possible shelter options. Again, engage with others in the area to assist in creating a safe plan.
• Prepare an emergency kit that allows access to important information, equipment, or tools. There’ll be occasions where the damage to a building is so great that it can’t be safely entered. Therefore, business owners must consider what they’ll need to access to both deal with the damage caused (such as insurance details and an asset register) and maintain business operations as much as is possible.
• Have a plan to minimise the spoilage of any refrigerated items in the event of power being lost.
• Have your data and any business information which is stored electronically backed up in a way that can be accessed off site. This is important if the premises can’t be accessed or if information has been lost due to power shortages. Alternatively, consider cloud hosted storage solutions to protect your data.
• Ensure your business’ asset register is up to date. A detailed asset register means the process of an insurance claim is much faster and hassle free.
• Discuss insurance cover, including business interruption, and its costs with your Guild Insurance Account Manager or insurance adviser and ensure you understand the financial protection afforded to you in the event of a storm.
• Have a maintenance program in place so your building is in an ideal condition. A building that has been allowed to deteriorate or has been poorly maintained is likely to suffer more serious damage during a storm. For example, a roof that is in poor condition is more likely to let in water during heavy rain and insurance may not cover you.
• If there are issues with your building and you lease the premises, engage with your landlord as soon as possible to discuss a plan and take action.
• Regularly clean gutters, down pipes and drains. A build-up of debris means water can’t flow as intended which can lead to water entering a roof cavity when raining.
• Trim trees that could fall on your property. Check with your local council regarding any guidelines or permits which may apply. And be sure you engage experts to do this as cutting down branches is more dangerous and difficult than it may seem.
• Develop a business continuity plan that will detail how you’ll manage your customer needs as well as your business and financial needs immediately after a catastrophic event. Thinking about this before an event can make the immediate impact and stress more manageable.
• Given there’ll likely be high demand for many services and trades, it would be wise to create a list of local services before there’s an urgent need. Utilise the knowledge of your local real estate agents; they can be a great support for putting you in touch with local trades and services.

Planning when a storm is imminent

• Have a plan for where and how you’ll access local and current advice when a storm is approaching, to be sure you can make the most appropriate decisions regarding when to evacuate if necessary and how to do this given there may be road closures.
• When there are warnings that a storm is approaching, bring inside any outdoor furniture, equipment or other items where possible. This not only prevents them from being damaged, such as by falling branches, but also stops them from being blown away. Anything that can’t be brought inside should be tied down if possible.
• When evacuating a building, where possible, turn off the gas and electricity supply. Be sure you know how to do this ahead of time.

Post-storm response

• Contact your Guild Insurance Account Manager or insurance adviser as soon as is possible to notify them of the event and any losses suffered.
• If you begin the clean-up yourself and wish to dispose of any damaged and unsalvageable items, ensure you take a photo of these items first, and keep a list of what’s been thrown out, to assist with your insurance claim.
• If you aren’t fully insured and are therefore managing aspects of the clean up and recovery yourself, it’s advisable to begin by prioritising what needs to be done and determining how you’ll do this and whose assistance you’ll need. There are restoration services available that can assist with this.

Following natural disasters, there’s often government support available to assist in the recovery. Be sure to stay up to date on what’s available from your local, state and federal governments.

Download the pdf article here.

Damage to a building caused by water coming from within the building is possibly not a risk that’s top of mind for many businesses. However, at Guild Insurance we’ve seen these types of claims steadily rising over the past few years, causing more damage and more disruption than business owners could anticipate.

How does this occur?

Automated water stop devices

Loss of refrigerated stock can have a significant impact on your pharmacy and your customers, yet there are some simple steps you can take to help avoid this situation.

Every year, Guild Insurance manages a significant number of pharmacy claims where refrigerated cold stock has been damaged and needs to be disposed of. It’s therefore vital that all pharmacy staff understand the role they might play in these incidents occurring and, more importantly, what they can do to reduce both the likelihood of them happening and the impact if they do.

What happens?

According to Guild’s claims data, there are four key causes for refrigerated stock being damaged.

• Storm damage – In these cases, the impact of the storm causes a loss of power. Sometimes the reasons for this loss are obvious, such as when power lines come down. However, there are cases where the reason power has been lost won’t be obvious. Storm damage can also prevent access to a building or premises, meaning any opportunity to access and move the refrigerated stock is hindered.
• Failure of power supply – This occurs when there’s been a loss of power to the premises. There can be several reasons why this occurs, such as faults with or overloaded network supplies. Sometimes there’s a warning it’ll happen; however, unfortunately, other times there isn’t.
• Accidental damage – This is when stock has been damaged accidentally due to staff actions, largely due to human error. Common examples include staff leaving the fridge slightly ajar without realising, not placing stock in the fridge as needed, forgetting about a delivery, or unplugging the fridge for other purposes and not plugging it back in.
• Breakdown – This occurs when the fridge has stopped working or isn’t working effectively, and therefore the correct temperature isn’t maintained. Unfortunately, in many cases, this isn’t realised until the temperature has been impacted for too long and the stock is damaged.

The impact

While insurance is there to assist pharmacists when these incidents occur, it isn’t a magical solution that can immediately solve the problem. There’s a process for determining what stock has been lost, ordering replacement stock, and then receiving this replacement. A quick turnaround in processing an insurance claim unfortunately can’t guarantee when the stock will be back in the pharmacy. This can disrupt operations due to a lack of stock.

When a business can’t operate as usual, this impacts both customers and the business. In some cases seen by Guild Insurance, stock has been a special order for a patient but was not placed in the fridge as required, meaning the patient couldn’t collect their medication when expected. This can be frustrating for the patient and detrimental to their health. Similarly, a pharmacy with scheduled vaccination appointments and a booked nurse may be left without available stock.

How to prevent these incidents

Some of the incidents leading to cold stock being damaged are hard to predict and manage. However, all pharmacists should consider actions they can take to reduce the likelihood of significant stock loss.

Don’t go it alone

• Know your requirements – Ensure you and your staff are aware of and comply with state and territory requirements regarding cold stock storage, disposal, temperature monitoring, and reporting.
• Processes and protocols – Pharmacies should have clear protocols for receiving deliveries, placing stock in fridges, monitoring temperatures, maintaining fridges, and reporting issues. Staff must be trained to follow these protocols.
• Ways of working – Human error is a major contributor to stock damage. Mistakes happen when staff are tired, stressed, or distracted. Reflect on workflows and identify ways to reduce errors.
• Have a plan for power loss – You can’t control when you lose power, but you can be prepared. Have a plan for both planned and unplanned outages, which could include:
  • The use of a generator.
  • A cooler box with ice or gel packs ready.
  • An agreement with another site to use a suitable refrigerator.
• Reminder tools – Simple reminders like stickers can help prevent human errors. Place signage near the electricity meter box and fridge power source to prevent accidental unplugging. Consider a power point locking device or wiring the fridge so it can’t be unplugged.
• Maintenance – Regular maintenance is crucial. Fridges need to be cleaned, serviced, and repaired as needed. While maintenance costs money, the cost of losing stock due to a breakdown can be far higher.
• Stock levels – Keep only the stock needed for the business to minimise losses if an incident occurs. Also, review your insurance policy to ensure the sum insured is appropriate.
• Alarms – Fridge alarms can alert staff when the temperature goes outside the ideal range or when the fridge door is left open. These alarms can be added if not already a feature of the fridge.
• Additional fridges – If space allows, having multiple fridges and avoiding overloading them can provide backup storage in case of a breakdown.
• Alternate power source – A backup power source, such as a generator or uninterruptible power supply (UPS), can keep fridges running during outages. UPS devices are cost-effective and can be fitted to existing fridges without an electrician.
• Stay informed – Pharmacists and staff should stay up to date on best practices for cold storage. The Federal Government’s National Vaccine Storage Guidelines, Strive for 5 provides valuable insights applicable beyond vaccines.

Guild Insurance Limited ABN 55 004 538 863, AFS Licence No. 233 791. This article contains general information only and is not intended as legal advice. Guild Insurance supports your Association through referral fees for certain products or services. RHQ324852 Preventing the Loss of Cold Stock 03/2025.

Damage to a building caused by water coming from within the building is possibly not a risk that is top of mind for many businesses. However, at Guild Insurance we have seen these types of claims steadily rising over the past few years, causing more damage and more disruption than business owners expected.

How does this occur?

Water inundating the premises can be caused by several factors, usually related to faulty or damaged plumbing. The most common culprits are water pipes and flexi hoses either inferior design, becoming old or damaged and consequently bursting with large volumes of water flooding the premises, while another cause, blockages in sinks, also result in water overflow. Ultimately these failures or issues create water havoc and cause significant damage to premises.

These types of incidents can happen in any business or home, though those businesses with a high number of basins and toilets, such as early learning businesses, face greater risk simply due to the number of pipes, hoses and sinks.

What’s the business impact?

Sometimes businesses are not immediately aware that a pipe has burst, particularly if it’s happened over the weekend or on holidays. Unfortunately, that means a lot of water has flowed into the premises before any action taken and more often than not, it means a lot of damage has occurred.

It takes time to completely dry an area that has been inundated with water, often requiring industrial driers which are quite loud to operate. As a result of the noise and disruption, businesses often need to close while the drying out process occurs. As well, high volumes of water can lead to mould issues, forcing businesses to temporarily close while they work to resolve these due to the health & safety risks.

On top of the drying process, there will most likely be furniture and equipment which needs to be repaired or replaced, particularly flooring, which requires clear access to complete.

Risk mitigation

While Guild Insurance prides itself on settling these matters as quickly and stress free
as is possible, insurance can’t mitigate the timing issues described above, which is why at Guild Insurance we believe that prevention is the key and can be achieved by any business with a few simple changes.

All businesses should have a maintenance program that includes routine inspections of the plumbing so that problems can be detected and repaired before an incident occurs. These inspections should be carried out by staff and supported by regular inspections by a licensed plumber.

Businesses should also consider installing automated devices which can protect against water leaks. Some of these devices will shut off the water supply when a leak
is detected, preventing the inundation of water, while others will also notify the
property owner when a leak is detected, meaning the incident can be acted on much
sooner. Business owners are advised to speak to their plumber about what will work
best for their business.

How you can save

By making these simple changes you may be eligible for a discount on your premium,
so talk to your Guild Account Manager today to see how you can save.

It probably goes without saying that as a vet you rely heavily on your equipment to do your job. Yet how often do you think about the impact on your business should something happen to that necessary equipment? Guild Insurance regularly manages claims where veterinary equipment has been severely damaged and needs to be repaired or replaced. While insurance is there to ease the burden when these events occur, it’s also important that those using the equipment think about the role they play in this.

What can go wrong?

A lot of the damage which occurs to veterinary equipment happens when the equipment is being transported, taken in and out of vehicles and used in various locations. Some examples of these include:

• While having an x-ray taken, a horse has kicked and damaged the x-ray machine
• While being placed back into a car after use, an x-ray machine was damaged
• During a procedure on a dog, ultrasound equipment was dropped while being moved
• A laptop was damaged due to ultrasound gel getting into it while being transported in a vehicle

Could the incident be prevented?

The first step to managing any risk is to consider if and how it could be prevented from occurring. In some of these cases, the incident is challenging to prevent. Animals are often unpredictable; some cases of horses kicking have occurred even when the horse has been sedated. However, in many cases human error has

been a factor and something could have been done differently. When dealing with expensive valuable equipment, please remember to always be mindful of how it’s being lifted, carried and where it’s being placed. Also think about what it’s being stored with or near; Guild has seen numerous examples of lube getting into equipment as it wasn’t stored securely away from that valuable equipment. When using equipment regularly, it’s easy to become too familiar and complacent. However it’s important to be aware that this damage does occur regularly, and vets and their staff should consider what can be done so it’s less likely to happen to them.

The business impact

Unfortunately we can sometimes develop a casual approach to property damage thinking ‘well that’s what insurance is for’. However, this view disregards the impact on professionals and their business while the claim is being settled. Damaged equipment won’t be repaired or replaced the next day. While Guild does its best to settle these matters as quickly as it can, the business will still be without that equipment for a short period. So, when considering what you can do to reduce the likelihood of damage to your equipment, also think about how you would manage if you didn’t have a piece of equipment for a week or two.

Minimise the impact

As you can’t always prevent an incident from occurring, the next best step is to minimise the impact should something go wrong. One way to minimise this impact is to provide as much information as you can to Guild so the insurance claim can be settled as soon as possible.

If some of your equipment is damaged and needs to be repaired or replaced, document as soon as possible exactly what happened and how. Taking photos of the damage will also assist Guild to understand what’s happened. Then be sure to contact Guild as soon as you can, ready to provide this information.

Adequate insurance

Veterinary equipment is expensive. Therefore replacing it when damaged will be costly. We unfortunately see too many cases where an insurance policy doesn’t cover the full cost of the equipment repairs or replacement, meaning the vet or their business must cover the additional amount. Please take the time to determine the value

of the equipment you own and therefore the cost that may be incurred if it was badly damaged and check your insurance policy to be sure you’re fully covered.

Vet Equipment Damage

Guild Insurance Limited ABN 55 004 538 863, AFS Licence No. 233 791. This article contains information of a general nature only, and is not intended to constitute the provision of legal advice. Guild Insurance supports your Association through the payment of referral fees for certain products or services you take out with them.