Case Study

Reduced Claim by Nearly $1M

Fire in Electrical Control Systems

Case Study

Fire

Services Provided

Cost Evaluation
Inventory Analysis
Solution Based Results

Fire in Electrical Control Systems
Fire in Electrical Control Systems
Fire in Electrical Control Systems

The Situation

Following a reported fire loss, ILC was engaged to inspect 48 test stations at a manufacturing plant. The insured indicated that 34 key components were obsolete, resulting in a proposed $1.6 million redesign. ILC investigated parts availability to help determine whether the test stations could be rebuilt.

Equipment Impacted

  • 48 Test Stations

Value-Driven Solutions

Parts Availability and LKQ Component Verification

ILC performed a detailed evaluation of the 34 components initially identified as obsolete or unavailable. Through supplier research, engineering review, and sourcing analysis, ILC confirmed that many parts remained available and identified LKQ components for those with limited availability. 

Rebuild Feasibility and Replacement Avoidance

ILC confirmed that all 34 critical components required to rebuild the test stations were available, enabling restoration rather than full redesign. This eliminated the need for new test station construction and supported a defensible rebuild strategy.

Comprehensive Rebuild Cost and Material Analysis

ILC developed a detailed reconstruction plan by analyzing all machinery and equipment components required to rebuild the test stations, including tables, power supplies, computers, monitors, data cards, barcode readers, and supporting parts. 

Fire in Electrical Control Systems

The Results

Verified Cost Accuracy


Established a verified and supportable rebuild cost for materials and components, ensuring stakeholders had a reliable and technically justified cost basis for claim resolution.

Labor and Timeline Clarity


Conducted a labor analysis to estimate the time and resources required to rebuild and reinstall the test stations. This included evaluating assembly complexity, installation requirements, and system integration, resulting in an estimated 2,439 labor hours. 

Significant Cost Savings


Determined a total estimated rebuild and installation cost of $300,540, resulting in a cost savings of $998,920 compared to the proposed $1.6 million replacement estimate while restoring full operational capability.

Case Studies

Real Claims, Real Results

Fire Damage on Aluminum Casing Line

Solution to Repair Instead of Replace Reduced Claim By $1.5M

Breakdown of CNC Machine

Repair vs. Replace Solution Reduces Claim By $600,000

Damaged Car Wash Systems

Reduced Claim by $32K

Damaged in Transit - Corrugated Box Making Machine

Missing seals and transit mishandling

Explosion at Condo Association

$1M+ in Equipment Retained Through Repair vs. Replace

Explosion at Ethanol and Ethanol Co-Products Plant

Claim Reduction Over $9M

Explosion at Ethanol and Ethanol Co-Products Plant

Reduced Claim By Nearly $6M

Explosion in Saturator Converting Line

Prevented $12 million in Business Interruption

Fire at Chemical Processing Facility

Lead Time and Reduction by Over $15M

Fire at Livestock Rendering Plant

Uncovered $4.5M in Betterments

Fire Damage at Concrete Batch Plant

Repair vs. Replace Significantly Reduces Claim Costs

Fire Damage on Film Line

Lead Time Cut by 14 Months, Reducing Costs by Over $1.5 Million

Fire Damage on Metal Processing Equipment

Reduced Claim Cost by over $700,000

Fire Damage with Healthcare Equipment

97% Reduction in the Claim

Fire in Electrical Control Systems

Reduced Claim by Nearly $1M

Fire Loss of Life Science Equipment

Reduced Claim Costs More Than $3.5M

Fire/Water Damage at Aluminum Beverage Can Manufacturing

Result in Reduced Claims Cost of Nearly $3M

Flood Loss at Indoor Water Park

Reduced Claim by $400k with Pre-existing Findings

Freezing Pipes & Water Damage In Boiler System

Solution to Repair Mitigates BI and Reduces Claim Over $85,000

Hail Storm at Manufacturing Facility

$11k Repair Instead of $800k Replacement

Lighting Surge at Packaging and Printing Facility

Restoring to Pre-loss Reduced Claim by $2.9M

Mechanical Breakdown at Gun Manufacturing Facility

Reduced Business Interruption by 14 weeks

Mechanical Failures on Horizontal Grinder

Identified Failures Stemming from Inadequate Repairs

Tornado Hits Agricultural Equipment Manufacturer

ROM Reduced by Millions with ILC’s Involvement

Water Damage at Chemical Feed Water Line

$1.6M Reduction in Pre-existing Conditions

Water Damage to MRI Machine

Medical Equipment Repair Costs Reduced by over $100,000.

Water Damage with Fire Pump System

Reduced Repair Cost by almost $4k

The Experts Behind the Best Outcome.

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