WHECO completed extensive structural repair on this Manitex Torque box. Cracks in the boom truck frame welds were removed and bad doubler plates were removed and replaced where they were too cracked and bent. WHECO re-welded all cosmetic repairs to clean up previous bad welds. The boom truck frame was then sand blasted and repainted.

This post is written by Tim Hillegonds, a former insurance expert for NBIS and contributor to American Crane & Transport magazine.

There’s an old Mark Twain quote that talks about the difference between the right word and the almost right word being similar to the difference between the lighting and lighting bug.  If we were to take Twain’s concept and apply it to the crane industry, we could say that the difference between a crane appraiser and a qualified crane appraiser is just as stark a contrast.

So, with that in mind, we’d like to present you with the top five reasons that you should hire a qualified crane appraiser.

1.      Equipment Knowledge

Most people would agree that taking a woodshop class in high school doesn’t qualify you to frame a house.  The same is true when it comes to cranes.  There’s a big difference between “heavy equipment” as a general category and knowing the value and ins and outs of a 300-ton crawler crane or a 500 ton all-terrain crane.  A general insurance adjuster might be able to run a Google search and tell you the approximate value of a crane, but chances are he can’t tell you how to value specific attachments such as the luffing jib or heavy lift attachments.  And he certainly won’t be able to tell you how it works.  Hiring a qualified crane appraiser will ensure that the person appraising the equipment and evaluating crane damage is doing so from a position of knowledge, experience, and authority.

2.      Industry Contacts

Although it’s not really a well-known fact but people are actually hard wired to give referrals.  We relish the intrinsic value derived from exposing someone to a positive experience that we had.  Hiring a qualified crane appraiser means that you’re hiring someone with the right network of people to help you.  Whether it is sourcing parts and components, introducing you to someone to talk with at the manufacturer, locating a good “cause and origin” guy, or directing you to a qualified and trusted repair service provider, hiring a qualified crane appraiser is the perfect place to start.

3.      Loss Mitigation

The number one goal in a claim from everyone’s standpoint is to limit the total amount of the loss.  A qualified crane appraiser is going to be able to help mitigate the loss by reducing the total hours the crane is down, finding the most competent repair facility, and bringing in any additional experts that might lend their expertise to the overall claims process.

4.      Knowledge of Crane Cost & Value

In the same way that a qualified crane appraiser is going to have a plethora of industry contacts to consult with in the event that unforeseen issues arise, he is also going to bring extensive knowledge of your specific crane’s cost and value.  Because he’s proficient in the mechanics of both the crane and crane industry, he will be able to collect and give consideration to a multitude of factors and resources to ensure that your crane is appraised at the correct and appropriate value.  And, a site visit to do a physical inspection can be an inexpensive way to assure that you know what you are insuring and eliminate future surprises.

5.      Root Cause Analysis—Subrogation?

Because qualified crane appraisers have such a breadth of knowledge regarding the specific components of a crane and crane accident, they are typically the best resource   for identifying potential avenues of subrogation.  A qualified appraiser should also be able to offer an option on the cause and origin of the accident to help determine responsibility.  They will also be able to help you to understand the OSHA regulations and as importantly the ANSI B30.5 standards that are helpful when assigning responsibilities.  Again, having the right person evaluating a crane accident is paramount to ensuring that you are properly informed and represented.

This post is written by Tim Hillegonds, a former insurance expert for NBIS and contributor to American Crane & Transport magazine.

Crane and other heavy construction equipment accidents can be challenging to repair.  It can also be difficult to provide accurate appraisals and assessments for putting the machinery back into service.  But, if you are a customer or an insurance provider it is not too much to expect.

It is very common that significant crane accident damage is not clearly evident and may not reveal itself until the equipment is disassembled and properly surveyed.  Unfortunately, this can lead to requests for supplemental payments sometimes to the extent that it may eventually put the cost to repair over the insured limits.  However, a quality crane repair service provider should be able to think, plan for and work through the damaged equipment and provide a reasonably accurate proposal to repair including an accommodation for unseen damage.  This raises two questions, both of which can be addressed in the same way:

1. How can a repair vendor provide a good repair estimate knowing that much of the damage is hidden?

2. How can you prevent repair providers from intentionally underbidding a project to get the equipment into their shop with an expectation that they can come back and ask for sizable supplements?

A reputable crane repair services provider should have the expertise and capability of providing a detailed scope of work for the obvious repair needs.  That detail should include a parts list with prices and a labor breakdown based on the various components necessary to perform the repair.  The same provider should also be able to consider the not so obvious, make assumptions and put together a equally detailed “what if” scenario estimate.

There is no reason not to expect similar documentation for the worst case scenario.  Having that information will help you to make a more informed decision.  And, if the crane repair services vendor is competent they may be willing to agree to a limited amount for any supplemental exposure to repair the damaged crane.

So, make sure that you have asked for and received detailed documentation on the repair including a worst case scenario.  Not only will it help you in the decision making process but it will also help you to eliminate the not so reputable repair providers.  It is not too much to ask!

See what documentation WHECO’s provides to their customers in their tell all Whitepaper: Protect Yourself: Demand Crane Repair Documentation.

WHECO provided a repair to a damaged Grove TMS900E cab.  The cost and long lead time on the cab afforded WHECO the opportunity to provide a time and cost effective crane repair solution. In the pictures below you can see that we were able to salvage much of the original cab and put the crane back into revenue generating service.

WHECO successfully completed a turn-key repair on a fire damaged Terex T775 hydraulic truck crane.  The crane was repaired at the Houston, TX facility. The repair included:

• Extensive hydraulic repairs
• Complete repair and rebuild of the operator cab, and electronic system
• Complete rebuild of truck carrier suspension, wheels, and brake system
• Paint

WHECO’s turn-key repair services will put your crane back into revenue generating service in the most time and cost effective manner.  Click on our services tab to view what WHECO can do for you.

We frequently receive calls asking us if we have any used crane boom for sale.  Our standard response is to ask if they have retained the damaged crane boom section(s) that they are trying to replace.  We do that because we want to make sure that a certified boom repair option for the damaged crane boom has been given full consideration and taken off the table before we offer our observations about the challenges of buying used crane boom. A repair can often be considered better than new.

Most often the caller assumes that the boom section is not reparable because they have already contacted and been told by the OEM that the damaged section(s) need to be replaced with new.   The subsequent call to us is usually the result of the customer finding out the cost and lead time of the replacement boom.  The ensuing “sticker shock” has an amazing effect on people and can motivate them to look for a more time and cost effective alternative to new replacement.  Unfortunately, and all too often it leads them to make unsafe decisions.  Finding used boom becomes their next consideration.  If we are fortunate enough to receive the call then we are generally able to help educate them on the benefits of considering a repair option.

See the Top 5 Reasons For Considering a Crane Repair Option

Once we have eliminated the repair option we offer the following insight into buying used crane boom:  It is absolutely essential that you know and trust the source.  The seller should know and be able to provide the history and pedigree of the crane boom that they are selling.  If you are buying from someone who owns or once owned the crane that is a favorable situation.  If, however you are buying boom from a used boom supplier then chances are you are buying a repaired boom.   Most of these companies will offer you a used boom and as part of the transaction will also want to take your damaged section in on trade.  They do this to acquire the terminations and perhaps some usable material.  Your damaged crane boom is then repaired and offered again up for sale.  Remember the boom you are offering up as a core exchange is the same boom you have already been told is not reparable.  You should insist on knowing if any repair was done to the boom that you are purchasing and demand documentation detailing how the boom was repaired. Download our whitepaper on protecting yourself by demanding proper documentation.

So our recommendation is to tread lightly when looking for used boom.  Your first option should always be to explore a repair option using a reputable structural repair services provider.  Your second consideration should be to replace with new.  The final option would be to find a used boom but not without knowing the history and securing the proper documentation.

This post is written by Tim Hillegonds, a former insurance expert for NBIS and contributor to American Crane & Transport magazine.

For those that are not in the crane insurance industry, it can seem like a complex and hard to understand system.  Terms like risk management, loss mitigation, subrogation, and loss control are thrown around at random, and the policy holder is left trying to decipher what, exactly, those terms actually mean.  To the average insurance buyer, though—even amid the misunderstandings— it usually boils down to one basic question:  What can I do to reduce the amount of premium I pay?

The crane insurance industry—or the insurance industry in general—is really nothing more than a series of mathematical equations.  Crane insurance providers will typically use what’s called “experience rating”—a process whereby an underwriter uses the company’s published pricing structure as a starting point, then adjusts it based on past loss experience to come up with a rate.  That rate is then multiplied by an exposure unit to come up with a price.

In first party coverage, that is, coverage that covers the crane owner’s equipment, the math gets even simpler.  Typically, the rate is multiplied by the value of the equipment (usually per $100 of value but sometimes per $1000), and then adjusted based on losses.   Keeping the math in mind, then, having a loss history that reflects minimal losses is imperative to keeping your crane insurance premium as low as possible.

One way to help mitigate the loss exposure is through the crane accident recovery process.  When a crane turns over and the boom is lying across a jobsite, or worse, across someone’s backyard, most owners first reaction is to get the site cleaned up as quickly as possible.  Crane company owners get worried about bad press and people talking.  General contractors start screaming.  Everyone just wants to remove the damaged crane and get on with his or her day.

While we understand the sensitivity involved in crane accidents, we also know that initiating the clean up without properly assessing how the crane will be removed can have a significant effect on a crane company’s loss run.  Ultimately, the amount the insurance company has to pay to repair or replace the damaged piece of equipment is the number that will be reflected on the loss run when the insurance renewal comes up again the following year.  Mitigating the damage to the crane during the recovery process should be on the forefront of every owner’s mind.

Most crane industry professionals know that the majority of a crane’s value may be found in its boom.  To put this in perspective, consider the following scenario:  The boom of a mobile hydraulic crane was lying across a roadway because it was side loaded and tipped.  The damage was mostly contained to the boom.  In an effort to expedite removing the crane from the site, welders were called in to cut the boom.  But because the boom was cut in half without any thought to where the cut was made, or to where the cylinder was located, the entire boom was rendered useless and had to be replaced. And in the process a perfectly good, and very expensive telescopic cylinder, was also rendered useless.  Had the crane owner spent a little more time planning the recovery process and placing the cut in an area that optimized the repair potential, a total replacement could have been avoided.  In some cases this small procedural adjustment can easily add up to five and six figures savings.  And since the amount the insurance company pays to repair the crane is what ends up being one of the determining factors in next year’s pricing, minimizing the damage caused during the recovery process is paramount.

Having a crane and heavy equipment repair expert supervise the recovery process is just one of the many ways that a crane owner can reduce the amount of premium paid for their crane insurance.  Incorporating a supervised recovery process into your company’s mindset isn’t just a good business practice though, it’s a way to endear yourself to your insurance company and show them you’re a risk that’s worth the savings.

This post is written by Tim Hillegonds, a former insurance expert for NBIS and contributor to American Crane & Transport magazine.

This IMT drill rig suffered structural damage to the mast requiring an engineered repair.  A main lift pin failed causing the mast to fall backwards damaging the mast structure.  The falling mast also caused damaged to the hydraulic system as well as some exterior sheet metal.  Working with the customer and the insurance company WHECO was able to restore the IMT drill to pre-accident condition and return it to revenue generating service in the most time and cost effective manner.

As it is with almost any business that seeks to change an existing paradigm, the staff at WHECO spends a great deal of time working to correct the misconceptions that endure in the market place about structural crane repair.  We continually strive to educate crane owners and companies that provide crane insurance that we talk to in an effort to advocate for change— an effort that we feel is greatly needed, especially when thought about in relationship to the crane industry’s antiquated mindset as it pertains to crane repair.

For over thirty-two years, WHECO has been performing structural repairs and restorations on cranes, crane components and other heavy construction equipment.  And throughout that time period, we’ve never had a failure, and have never been a defendant in a lawsuit.  For over thirty-two years we’ve put our name and reputation and livelihood on the line in an effort to provide our value added services to the crane and insurance industries that desperately need it.

But the question that statement inevitably begs is this: why does the crane industry need us?  And perhaps more importantly, why does the crane insurance provider need us?  We think the answer is simple.  We’re the barometer.  We’re the guys that balance out the equation and prove that crane accident plus damaged crane doesn’t have to equal crane or component replacement.  Just because the manufacturer has internal policies that directs their customers to replace the damaged components on their cranes doesn’t mean that having it repaired puts the owner, or the insurance company, in violation of any laws or regulations.  Every engineered repair that WHECO performs comes with documentation that ensures that it meets all the standards and regulations set forth by OSHA, Cal-OSHA, ANSI, and AWS.  Furthermore, just because a crane manufacturer cannot or does not want to be involved with providing structural repairs, doesn’t mean it can’t be done.

What WHECO has learned over the last thirty plus years is that the crane and crane insurance industry needs a stark wakeup call when it comes to deciding whether to repair or replace a damaged crane.  We’re not saying that there’s never a time to replace a component—clearly there is—we’re just saying that the insurance company insuring the crane and the crane owner need to fully vet their options before making the decision.  Removing camber and sweep from a damaged hydraulic boom is a lot less expensive than buying a new one.  And when repairs can be done more cost effectively, the insurance company pays out less money, there’s a smaller figure on the crane owner’s loss run, and crane insurance rates don’t climb as high.

So, what about liability?  What happens when the crane manufacturer throws the “black listed crane” argument on the table?  Well, we’re glad you asked.  OSHA is often cited, yet frequently misunderstood when it comes to structural crane repairs and component replacement.  And we feel that the crane manufacturers use those misunderstandings to their advantage.  Nowhere in any standard anywhere does it say that a third party facility like WHECO cannot perform a structural repair or component replacement.  The OSHA standard does provide for repaired/adjusted equipment.  It only requires that federal standards and requirements are met if a repair is performed—all of which WHECO meets or exceeds.  In fact, we take this a step further and warranty our work to such a high degree that it often times surpasses commercial and/or original manufactures standards.

Essentially, what WHECO offers the crane industry owners and crane insurers is this:  benchmarking.  WHECO provides engineered, warrantied solutions to the repair process that give common ground for owners, insurance companies, and crane manufacturers to stand on.  We level the playing field by providing a state of the art service that aligns the interests of the insurance company and the crane owner by introducing transparency to the process.  And when everyone can see what’s going on by viewing the scenery from the same vantage point, the result, at the very least, is that an informed decision can be made.

Can a structurally repaired crane component ever be considered better than the original?  Yes! Is it possible to take a damaged crane component like a boom or jib section or even a major weldment like an outrigger box, beam or superstructure and make it “better than new”?  We think so and here’s why.

Most manufacturing is automated and processes driven.  Machining operations, robotic welders and fixtures are normally set up for a manufacturing “run”.  That is, they are set up to manufacture the same crane component using the same manufacturing process with the goal of producing parts and components that are within design specifications and tolerances.  That works great if the set-up is precise and more importantly that no variation occurs during the manufacturing process.  However, if any variation should occur the process will be compromised and most likely change the final result.  Some errors can be caught during the manufacturing process through periodic quality checks where samples are pulled or final products are lot tested.  Since it is not practical to test every individual component the possibility remains for some non-conforming product to get through the manufacturing process and quality control system.

We know this to be true because we buy a lot of new OEM (original equipment manufacturer) crane parts and crane components and it is not uncommon to receive an “out of specification” part.  Sometimes the problems are clearly visible, but most often the deficiencies do not reveal themselves until you are trying to put things back together.  It is when things don’t fit or function that you realize the problem.

So, why would a repair to an out of specification or a damaged component make it better than new?  First, when we receive a damaged crane or crane component we are careful to survey not just the damaged area, but the entire part or component.  A comprehensive survey can reveal not only normal wear and tear but also additional damage, previous damage and repairs, and sometimes OEM manufacturing deficiencies.  The most common issues are welding/penetration issues and out of tolerance specification due to camber and twist.  We sometimes find where unauthorized modifications have been made or some sub-standard factory field campaign work has been performed.

Second, once the survey is complete you can develop a comprehensive scope of work.  The scope of work must assure that all deficiencies are addressed.  Third, it will then be the performance to that scope of work, oversight of the repair process, inspections, testing and documentation that will assure that the repair was completed correctly and is compliant with OSHA, Cal-OSHA and ANSI standards and regulations.  You can view an example of a comprehensive documentation package here.

So we would contend that because of the depth and specificity of a WHECO survey and repair, our over-sight, post-repair inspection, testing and documentation process that a structurally damaged component repaired by WHECO will meet or exceed all OEM manufacturing criteria as well as all federal standards and regulations.  All repairs are warranted and guaranteed, and perhaps better than new!