Residential and Commercial HVAC Claims Saw Increased Risk in 2023

HVACi Releases 2023 Annual Claims Report With Key Claims Data for Insurance Carriers

CHARLOTTE, N.C., March 27, 2024 /PRNewswire/ -- Increased parts and labor costs, inaccurately reported perils, and extreme weather events all played a role in putting property and casualty insurance carriers more at risk for indemnity leakage from HVAC and refrigeration claims last year. The newly released HVACi 2023 Annual Claims Report outlines just how much those increases were.

Each year, insurance professionals rely on this report to review trends about HVAC and refrigeration systems and perils often found in these claims. HVAC Investigators (HVACi), which is the HVAC and refrigeration assessment offering of Alpine Intel, produces the report using the results and analyses of assessments that adjusters have assigned to the company. They represent nearly 100 different types of residential and commercial HVAC and refrigeration systems.

"Global changes to refrigerant regulations, various degrees of damage, and the scope of complex HVAC systems all lead to confusion and inaccuracies that impact carriers and their policyholders," said Alpine Intel CEO Damon Stafford. "The annual report is our way of providing our insurance partners with industry updates and current trends so they can make better-informed decisions to enhance their policyholder relationships."

Among the key insights described in this year's report are that nearly one-fifth of all HVAC and refrigeration systems were non-damaged at the time of HVACi's independent assessment, and 36% of equipment was determined to have a cause of loss typically not covered by insurance policies. What's more, half of all reported perils were recategorized following HVACi's evaluation.

Insurance professionals can use the easy-to-read report to learn more about:

• Residential Claims: Reported vs. actual causes of loss, repair vs. replace frequency, and actual cause of loss data for water, high voltage surge, and hail damages
• Commercial Claims: Reported vs. actual cause of loss, repair vs. replace frequency, and actual cause of loss data for hail, wind, and high voltage surge damages
• Multi-System Large Losses: Reported vs. actual cause of loss, claims by state, and actual cause of loss data for hail and wind damages
• 2023 Claims Overviews: Claims by state, reported cause of loss by month, claimed amount trending, average parts and labor costs for repairs, and residential refrigerant trending
• More trends, insights, and resources to help insurance professionals make more accurate decisions

The HVACi 2023 Annual Claims Report, which is available for free to insurance professionals, and HVACi's other services are part of Alpine Intel's mission to answer insurance professionals' complex questions using innovation, knowledge, and experience.

About HVACi: HVAC Investigators (HVACi) provides a better all-in-one HVAC and refrigeration system claims solution and desktop pricing review option for insurance carriers. HVACi simplifies how claims are handled by leveraging an extensive in-field network, innovative processes, and engineering best practices to produce objective, timely, and actionable assessment reports.

About Alpine Intel: Alpine Intel is dedicated to innovation across a broad range of property insurance intelligence – helping customers reach peak performance throughout the policy life cycle. Through its operating brands, HVACi, StrikeCheck, National Fire Experts, and Donan, Alpine Intel is respected as the industry leader for its scale and track record of conducting expert, specialized, and accurate investigations nationwide.

Media Contact: Katie Roudabush, CMO for Alpine Intel
[email protected] 704-235-3043

SOURCE HVAC Investigators