Welcome to Industrial Loss Consultants LLC and the 2016 San Antonio PLRB Booth #167!

We try to find humor in even the most difficult of circumstances and sometimes, as in the case of Wayne's First Landing, those moments just lend themselves naturally to the situation.

We have started a new trend here at Industrial Loss Consultants LLC, each month we will be choosing a new Employee of the Month. The Employee of the Month is the recognition of an individual by ILC for their exemplary individual achievement, performance and outstanding contribution to the company as an employee.

ILC Consulting Service Assignment:

• Complete Inventory of all M&E contents of the facility.
• Create Photographic record of facility and impacted M&E contents.
• Work with various departments and individuals to assist the insured with their recovery project.
• Create an initial project budget reserve for the insured’s recovery efforts.
• Work with multiple tiers of coverage machinery and equipment content experts.
• Refine project budget recovery costs as insured moves towards operational status.
• Track insured’s incurred Replacement and Repair Costs as recovery project progressed.
• Work with Salvage Companies to dispose of replaced equipment and help to minimize insurance exposure.
• Attend various adjustment meetings with insured and insurance company team members.
• Hold regularly scheduled status update meetings with plant management team.

ILC Findings:

• The USGS predicted flood water levels within the facility of approximately 2’, by the time the flood event concluded and the flood waters were receding the high water mark throughout the plant was approximately 6’. The insured received advanced warning of the pending flood event and worked diligently during that time to move motors, controls and electronics above the predicted 2’ flood levels.
• A massive cleanup project was undertaken by the insured’s employees as well as outside restoration contractors, and vendors. ILC was asked to monitor the progress of the recovery efforts and to provide status update reports to the insurance company.
• With the approval of the insurance company; ILC performed Clerk of the Works and the insured came to depend upon ILC as their main point of contact at the loss site for review and comment on damaged M&E.
• To minimize the insured’s downtime, M&E recovery was prioritized according to machinery and department. 

Summary:

• Written report(s) of ILC’s findings and the insured’s recovery progress were provided to the client on a regular basis throughout the first phase of the recovery project (ILC was on-site throughout this phase a majority of that time (2 – 3 months).
• During the next phase on-site time was reduced and a weekly progress phone call was held with plant management and other insurance parties (3 – 4 months).
• The final phase of the recovery project in which ILC was involved revolved around the design, approval and procurement of a customized robotic cutting and machining center. ILC was additionally engaged in several adjustment meetings with the insurance company along with the insured’s personnel.
• In summary, time savings was a significant factor in helping to control Extra Expenses as well as Business Interruption costs. Although this was a large multi-million dollar loss, it went smoothly throughout the recovery project due in large part to the relationship ILC was able to forge with the insured and their plant personnel. 

Author: Wayne Taylor

ILC Consulting Service Assignment:

• Conduct inspection, evaluation of equipment/parts damage and provide adjuster with a report.
• Provide RCV and ACV for Toyota HSP 550 Machining Center.
• Provide photographic record loss site and damages sustained to the Machining center as a result of the accident.
• Provide cost to salvage damaged unit or repair to sell back to manufacturer to recover some of the loss.

ILC Findings:

• Brand new Toyota HSP Machining Center dropped during delivery by movers.
• Shipping company only had $100,000.00 of insurance coverage. 
• Machining Center’s cost new was $350,000.00 with a 6-8 month lead time.
• Insured needed machine to start new production line with contract in two months or face contract dispute which involved forfeiting $1,000,000.00 per month.
• Located a demonstrator model at a dealer in Los Angeles.
• Worked with insured to have demonstrator cabinet retrofitted for current installation and location.
• Worked with manufacturer to ship machine back to manufacturing plant for factory repairs. 

Summary:

• Written report of ILC findings provided to client.
• After repairs the manufacturer was able to sell a machine that would have been sold for pennies on the dollar as a remanufactured model at a discount of $100,000.00.
• This allowed the insurance company to save money as well as the underinsured. Most importantly we were able to help the insured out of an unfortunate delivery situation and with loss of business. 
• Assisted in meeting deadlines and finding a solution to a loss that could have been in the hundreds of thousands of dollars but was diminished to a net cost of around $35,000.00 plus fees