Why Pre-Loss Documentation Matters
After a disaster, proving what you owned and its value can be extremely difficult without proper documentation. The burden of proof is on you, and insurers will only pay what you can substantiate. Preparing documentation before a loss occurs is essential.
Essential Documentation Elements
For Each Asset, Record:
- Make, model, and manufacturer
- Serial number
- Purchase date and price
- Current value or replacement cost
- Condition assessment
- Location within facility
- Photographs from multiple angles
Supporting Documents to Maintain
Purchase Documentation
- Original invoices and receipts
- Purchase orders
- Payment records
- Shipping documents
Ownership Documentation
- Titles and registrations
- Lease agreements
- Financing documents
Valuation Documentation
- Appraisals for valuable items
- Current replacement cost quotes
- Depreciation schedules
Condition Documentation
- Recent photographs
- Inspection reports
- Maintenance records
- Upgrade documentation
Photography Best Practices
- Take photos from multiple angles
- Include context shots showing location
- Capture serial numbers and data plates
- Document condition, including any damage
- Update photos annually or after changes
- Include date stamps or date documentation
Video Documentation
Walk-through videos are valuable for:
- Showing overall facility condition
- Capturing items that might be missed
- Demonstrating equipment in operation
- Providing context for still photos
Digital Storage and Backup
Protect your documentation from the same disasters that might destroy your assets:
- Store copies off-site
- Use cloud-based backup services
- Share copies with insurance agent
- Keep physical copies in a fireproof safe
- Update backups regularly
Using Asset Management Software
Modern asset management systems can:
- Maintain comprehensive asset records
- Store photos and documents digitally
- Generate reports for insurance purposes
- Track values and depreciation
- Provide cloud-based access to records
After a Loss
- Refer to your pre-loss documentation
- Document all damage with new photos/videos
- Create list of damaged/destroyed items
- Gather supporting documents
- Work with your adjuster to substantiate claims
Common Mistakes to Avoid
- Relying on memory after a loss
- Keeping only paper records on-site
- Not updating documentation regularly
- Disposing of receipts and invoices
- Failing to document improvements