No. 231 Building Reinstatement Cost Assessments for Farms and Estates
No. 231 Building Reinstatement Cost Assessments For Farms And Estates
ISBN 978 1 901 434 91 0
After the Northern Group of CAAV ceased the publication of a schedule of rebuilding costs for farm and estate buildings, it became apparent that there was a lack of reliable data for agricultural valuers to use for reinstatement cost assessments for insurance purposes. On investigation, other published rebuilding cost figures proved to be out of date or insufficiently robust.
In 2015 I proposed the establishment of a working party to produce guidance for valuers on undertaking a reinstatement cost assessment, together with a schedule of rebuilding costs for farm and estate buildings, the be reviewed annually.
I am delighted that that work has now come to a successful conclusion and hope that all members who carry out reinstatement cost assessments will find this publication useful in assisting them to do so. It provides an introduction to the topic, including regulatory guidance thereon, gives a background to estate and farm insurance, advises on matters to be considered in undertaking an inspection for the purpose of undertaking a reinstatement cost assessment, provides advice on the assessment itself and finally provides commentary on the insurance valuations which are often required alongside valuations for secured lending purposes.
I am extremely grateful to the members of the working party who have produced what I hope will be a very useful publication: they were Philip Coles, Richard King, Edwards Morris, James Prewett, Stephen Home, Martyn Barrett of BCH and Jim Loynes, formerly of Harper Adams University, with myself and Kate Russell of the CAAV Secretariat. Additional information and assistance was provided by NFU Mutual, Lycetts, Farmweb, Shufflebottom Ltd and Midland Slurry Systems.
Leading farm and estates insurance companies and brokers have welcomed the initiative taken by the CAAV, recognising that this publication and the CAAV Rebuilding Costs Schedule set out good practice guidance that will be valuable not only to valuers and their clients, but also to insurers, who will be more confident in the sums insured when reinstatement cost assessments are carried out in accordance with it.