The Four Pillars of Risk Management in Property Management: Insights from the Knowledge Bank Webinar
Residential Property Managers operate in an increasingly high-risk environment. An effective approach to risk management is critical to protecting your business, your team, your clients and your leaseholders. Risk management cannot be consigned to ticking boxes.
In a recent News on The Block Knowledge Bank webinar, Emma Vigus of Thomas Carroll and Katharine Cusack of RPC shared their perspectives on four of the essential pillars of effective risk management: Contract, Cover, Competence and Culture. Listen to the webinar here.
Contract: Your First Line of Defence
A well-drafted contract is the cornerstone of risk mitigation. Insurance lawyer, Katharine emphasised the importance of ensuring that every service provided is clearly defined within the contract. This not only sets expectations but also limits liability. Utilising industry-standard agreements, like The Property Institute’s Model Management Agreement should be used to provide a solid contractual foundation and efforts by clients to extend liability should be resisted. Katharine cautioned that even informal communications, such as WhatsApp messages, can be interpreted as legally binding agreements and highlighted the importance of not starting work without a signed contract.
Insurance Cover: Not All Policies Are Equal
Insurance is often seen as a safety net, but not all policies offer the same level of protection. The speakers highlighted the need to thoroughly understand what your professional indemnity and directors and officers insurance policies cover. Many policies have exclusions, especially around fire safety, regulatory claims and financial services activities. Emma advised property managers to work closely with their brokers, fully disclose all business activities and ensure that proposal forms accurately reflect the scope of services provided.
Competence: Beyond Qualifications
Competence extends far beyond holding the right qualifications. The webinar underscored that true competence is shaped by experience, ongoing training and the environment in which professionals operate. Business leaders must foster a culture that empowers teams to act competently, adapt to change and maintain high standards even under pressure.
Culture: The Glue That Holds It All Together
A positive business culture supports competence, encourages transparency, and strengthens risk management. Emma and Katharine urged the industry to share knowledge and best practices openly, as the sector is only as strong as its weakest link. Record-keeping, open communication, and a willingness to learn from mistakes are vital for building resilience.
By focusing on these areas, your business, your team, your clients and your leaseholders will be better protected and better served. You can listen to the webinar in full here.
Get in Touch
If you would like to learn more about how we can help, please get in touch with Emma Vigus.
As Head of Residential at Thomas Carroll Insurance and Risk Advisors, Emma works with block and estate managers to create tailored, practical risk management frameworks that protect people, properties and reputations.
