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Looks at the latest developments in insurance and its relevance for facilities managers. Any shortcomings in policy coverage are exploited fully thereby causing distrust between the parties involved. Shows that although insurance has a low priority, it is in a firm′s favour to have good cover.

Comments on the perceived unfairness of the tenant being responsible for latent building defects. Relates how the situation was changed in the early 1980s, making the commercial landlord responsible, which impacted developers. Discusses how insurance provides a solution, contrasting this with the “decennial” code. Explains how the policy should be worded and indicates premium costs. Concludes that future policies will have to be more comprehensive. Concludes that litigation is not a satisfactory solution.