In August 2020, two hurricanes impacted a fulfillment center in Louisiana. The main manufacturing building and outside storage area were affected by flooding and overhead water intrusion, which contaminated various industrial manufacturing equipment, electrical switchgear, Information Technology (IT) equipment, and various other equipment. The value of the exposed equipment was over $20M. More importantly, the estimated delivery times for most of the equipment would take several months, which would impact the insureds’ production.
J.S. Held’s Equipment Consulting Practice was engaged to evaluate the equipment; determine the scope of the damage; develop corrective action plans; opine on restoration, repairs, and replacements; and measure the associated costs. Our experts partnered with the company’s engineers and the various manufacturers and vendors to jointly assess the equipment and develop expeditious recovery solutions. Post-restoration and recovery activities included conducting functional testing. The work included weekdays and weekends over several months. Through the joint assessments and agreed scopes for recovery and repairs, we determined that many of the systems were restored to pre-loss condition, passed manufacturer and insured testing, and could be put back into production. The equipment claim was approximately $8.55M versus the initial claim of over $20M.
George Alexander
Senior Vice President | Regional Lead
Equipment Consulting Practice
+1 972 980 5074
[email protected]
> Equipment Consulting - Industrial
We provide high quality technical assistance in the evaluation of industrial equipment and systems. Our team has been called upon across the globe to deliver objective and independent analyses based on years of industry experience, technical expertise, and market knowledge.
> Equipment Consulting - Electrical
J.S. Held electrical equipment consultants and engineers provide causation analysis; code upgrade and compliance support; and damage assessments with repair scope and cost estimating for systems in residential, commercial, and industrial applications.
> Equipment Consulting - Information Technology
Our Information Technology (IT) experts evaluate systems ranging from desktop environments to expansive, multi-million-dollar data centers. We deliver objective and independent analyses of IT claims based on years of industry experience, technical expertise, and market knowledge.