The necessary insurance coverage for a commercial building can be a large expense. Among the factors that affect the cost of a commercial insurance premium are liability. In the event that your building has an increase in claims, insurance premiums typically increase as well. Fortunately, there are steps that can be taken to decrease your building’s liability while simultaneously reducing insurance premiums.
- Make certain contractors are insured. From time to time, you may need to have maintenance work performed on your building. Always make a point to ensure that any contractor who is performing work on your property is properly insured. All contractors should have worker’s compensation, liability insurance, auto insurance, and umbrella insurance.
Building owners are naturally interested in ways to lower their insurance rates, thus reducing their cost of ownership. There are actually many ways that this can be done! If you’re a building owner looking for ways to cut down your insurance rates, here’s some food for thought:
1. Creating a Building Profile
Creating a building profile to provide to the insurance company is one of the easiest and best ways to reduce insurance rates. A variety of factors affect building insurance rates, including number of units, replacement costs, type of construction, claims history and more. By presenting a comprehensive building profile to the insurance company, building owners can ensure that it has all of the most recent and relevant data on which to base your insurance rates. Remember to review your building valuation regularly. Over time, the cost of material and labor can change, sometimes significantly. Discuss the difference between replacement cost and cash value with your insurance broker. Read more
As a busy building owner, I’m sure you’re more concerned about filling up your next apartment, closing your next deal, and getting your building refinanced than you are about notifying your insurance broker with changes to your building.
There are a few very important changes to your building that you should notify your insurance broker about immediately. Read more
Posted by Mark Eisenberg on the Evergreen Inside
As an aggressive insurance producer I get to review and analyze the insurance policies of a lot of property owners/managers. What I have noticed is that it is typically 1 of 2 very different scenarios.
Some property managers have the same insurance policy for years, they are paying low premiums and are very happy with their broker, their policy and carrier. And then there are those who are paying premiums thru the roof, they are unhappy with their broker. They are basically unhappy with the insurance industry in general. They are just unhappy. Period.
After thoroughly analyzing the factors that cause this huge gap between the happy and the unhappy insureds I have seen a clear pattern of different methods of risk management, or perhaps it is their different perspective on the purpose of their insurance policy. Read more
We at Evergreen specialize only in Real estate Insurance. By focusing on this exciting industry we have become known as the experts in Commercial Building & Landlord Insurance.
It has happened to us that existing valuable clients asked us to insure their homeowners & auto insurance. Most other insurance agencies offer all kinds of insurance so it may feel a bit uncomfortable to say that we only do insurance for investment Real Estate, but we need to remind you that this is our value over all the other traditional brokers.
Think about it, if you had a condition with your heart, would you go to your family pediatrician or would you trust a heart specialist? for your real estate insurance trust the specialist, trust Evergreen!
And if your heart doctor can also take care of your ingrown toe nail, he is probably a nice guy but most likely not a heart specialist. If your broker can do insurance for commercial buildings and your auto he doesn’t know real estate insurance like we do.
Evergreen – Insurance for Real…
Window Guard Safety!
Nearly 5,000 children get injured by falling out from windows, 28% of these lead to hospitalization and about 10 children die from such falls each year. The New York Law requires every dwelling that has more than 3 families living in it to install window safety guards. Read more
A homeowners’ associations (HOA) is an organization of homeowners living in a real estate development, the major purpose of which is to enforce deed restrictions and maintain common areas of the development. The development might be a condominium, a planned unit development (PUD) with separate home sites or a planned residential development.
Comprehensive Insurance Program
Every association needs a comprehensive insurance program to protect itself from casualty losses, personal injury and property damage claims, as well as miscellaneous areas of liability exposure, such as officers and directors liability for the HOA’s board of directors. An adequate insurance program should consider how the units are situated or connected. A condominium building will have different needs than a subdivision with a clubhouse and a pool.
Even though a condominium is required to obtain a blanket fire and casualty insurance policy covering all units, as well as all common areas, a planned unit development has the option of either obtaining such a policy or insuring only the common areas. A developer usually prefers to have the PUD association insure only the common areas, since that eliminates the cost of fire insurance on individual units.
An HOA needs to have insurance but what is right for one community may not be right for another. Coverage needs to be appropriate for the association involved. The following coverages should be considered when determining what is right for your HOA:
- Property insurance
- Commercial general liability insurance
- Automobile insurance
- Director’s and officer’s liability insurance
- Employee dishonesty insurance
- Comprehensive equipment coverage insurance
- Workers’ compensation insurance
- Umbrella liability insurance
Read the full article at real-estate.lawyers.com