Warning: Blocks risk crime increase as recession bites

Communal buildings, such as blocks of flats, are at risk from increased claims following a reported rise in crime as the recession bites.  Home Office and police statistics show a sharp rise in crime in the second half of 2008, particularly break-ins, burglaries and malicious damage.  One  major insurer, Zurich Municipal, is already urging landlords and freeholders to check their insurance policies and risk management processes in response.  Building owners need to be prepared for attacks on their property by ensuring that security is up-to-date, property insurance is in order and buildings are protected from arson as far as is possible. Civil unrest can also leave property and other assets, such as vehicles vulnerable to damage.

With properties remaining empty for longer periods than perhaps would have been the case before the downturn, they are more vulnerable to attack. It is important for property owners to adequately protect their premises, especially if any become vacant.  Building owners also have a continuing duty of care to trespassers under the Occupier’s Liability Act, particularly if the building contains known hazards. A structured approach to managing vacant properties is therefore crucial to mitigate threats posed by squatters and vandals, such as escape of water and theft of contents or fixtures and fittings.