Oh the irony… it HURTS!

First, check out the background

A small group of New Zealand insurance brokers affected by a lengthy loss of data services may band together to seek compensation.

Up to 21 brokers here suffered to varying degrees when a power cut knocked out SSP’s Solihull data centre in the UK, and some had staff sitting doing nothing almost three weeks.

SSP yesterday issued a statement saying it had successfully restored core services to affected New Zealand brokers, but work continued to restore document archives and some non-transactional data.

SSP’s New Zealand manager Sam Finkle said the company deeply regretted the impact on customers and it would work closely with them to get their operations back to normal as soon as possible.

He said SSP would investigate the cause of the glitch, and data for all affected UK and New Zealand customers was being restored to a more resilient storeage centre in London.

So, NZ insurance agents experienced a three week outage to their business due to circumstances beyond their control.   Being insurance people, you would have to expect they had taken out a Business Interruption product.  

Murray Rosser of Rosser Underwriting, who calculated lost staff time had cost $40,000, said he had spoken to three or four other affected brokers about making a joint approach to SSP for compensation and they hoped to meet soon.

“The thinking is if we do it on a collective basis, we may have more traction than individually.”

Rosser said inability to extract data for bespoke reports had jeopardised a large UK deal. “If that falls over that’s going to be potentially more costly than any of the costs we have incurred to date for extra work we have had to do.’

Lack of access to stored historical data was still a major problem and SSP had been unable to say when it would be restored, he said.

“It complicates our work quite significantly and it means we can’t access our scanned paper records. In the long term it’s an impossible situation; in the short term we can get by because our customers are understanding.”

Chief executive of TLC Insurance in Tauranga Keith Penny said his company was looking at hiring temporary staff to clear a back log of work caused by the system outage and was also considering a compensation claim.

Don’t you just love it?   Apparently insurance agents don’t carry cover for their own business.  And they are whining about wanting compensation.

Cobblers’ shoes, eh?


– Amanda Cropp, Stuff

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