Package Coverages

Package policies are the most convenient and cost effective way to combine a number of coverages in one policy, for both the insured and the insurance carrier. Some classes of real estate property may be eligible for coverage in both the businessowners program and the commercial package policy.

Businessowners Policy (BOP)

Commercial Package Policy (CPP)

Property Coverages

Real estate owners must protect the building because it is their major asset. Their primary concern is the structure itself because they usually have no control over the activities inside unless those activities violate a contract. Time element coverages, especially business income that includes rental value, are necessary for continued cash flow following a loss.

Types of Property

Building

Business Personal Property

Personal Property of Others

Improvements and Betterments

Property Coverage Forms

Building and Personal Property Coverage Forms

Builders Risk Coverage

Commercial Output Policies

Condominium Coverage Form–Association Coverage

Condominium Coverage Form–Unit-Owners Coverage

Equipment Breakdown Protection Coverage (AKA Boiler and Machinery Coverage)

Legal Liability Coverage

Standard Property Policy

Perils Insured/Causes of Loss Forms

Basic

Broad

Special

Earthquake

Flood Coverage

Mine Subsidence

Property Coverage Options to Consider

Debris Removal Coverage

Ordinance or Law Coverage

Outdoor Trees, Shrubs and Plants Coverage

Valuation Options

Replacement Cost

Time Element Coverages

Business Income with Extra Expense Coverage

Business Income without Extra Expense Coverage

Time Element Coverage Options to Consider

Ordinance or Law Increased Period of Restoration Coverage

Inland Marine Coverages

Most inland marine forms and coverages for these classes of business are limited and typically apply to exposures found in offices or to coverage for buildings under construction. Deeds and contracts are extremely valuable papers and should be covered with the appropriate form.

Accounts Receivable Coverage

Builders Risk Coverage

Difference in Conditions (DIC) Coverage

Electronic Data Processing Equipment Coverage

Fine Arts Coverage

Signs Coverage

Valuable Papers and Records Coverage

Crime Coverages

Recommended crime coverages include protection against loss of money if tenants pay their rent in the form of cash or check at the rental office. Larger operations are subject to forgery or computer fraud exposures. Regardless of size, all operations are exposed to potential employee theft problems.

Computer and Funds Transfer Fraud Coverage

Employee Theft Coverage

Forgery or Alteration Coverage

Inside The Premises–Theft of Money and Securities Coverage

Inside The Premises–Robbery or Safe Burglary of Other Property Coverage

Money Orders and Counterfeit Money Coverage

Outside The Premises Coverage

Crime Coverage Options to Consider

Clients’ Property Coverage

Destruction of Electronic Data or Computer Programs Coverage

Employee Theft and Forgery Policy

Extortion Coverage

Inside The Premises–Robbery or Safe Burglary of Money And Securities Coverage

Inside The Premises–Robbery or Burglary of Other Property Coverage

Inside The Premises–Theft of Other Property Coverage

Kidnap and Ransom Coverage

Lessees of Safe Deposit Boxes Coverage

Securities Deposited With Others Coverage

Telephone Toll Fraud

Unauthorized Reproduction of Computer Software by Employees Coverage

Surety Coverages

Real estate and rental property operations may be required to post bonds based on their activities, operations and the licenses and permits needed to do business.

Court Bonds

Fiduciary Bonds

License and Permit Bonds

Miscellaneous Surety Bonds

Notary Public Bonds

Commercial Liability Coverages

Real estate and rental property operations typically have no products or completed operations liability exposures. However, they do have substantial premises liability issues and concerns. The nature of the building occupancy and the contractual relationship between the owner and tenant determines the actual exposures.

Commercial General Liability (CGL) Coverage

Employee Benefits Liability Coverage

Employment-Related Practices Coverage

Special Events Liability Coverage

Commercial Auto Coverages

The commercial automobile exposure is usually very limited and consists mainly of private passenger automobiles and light service trucks.

Auto Medical Payments

Business Auto Coverage

Collision Coverage

Comprehensive Coverage

Hired Cars

Nonownership Automobile Coverage

Uninsured/Underinsured Motorists Coverage

Workers Compensation Coverages

Some of these operations have no employees at all while others have large payrolls. It depends on the number of owned properties and maintenance agreements. A worker is considered an employee even if his or her remuneration is in the form of barter, such as a “free” apartment, instead of in actual money.

Workers Compensation and Employers Liability Coverage

Stop-Gap or Employers Liability Coverage

Voluntary Compensation

 

Excess and Umbrella Coverages

Even with risks or operations not having significant premises liability exposures, the additional limits of insurance available through an umbrella or excess policy are important and needed to protect the financial assets of the property owner.

Excess Liability Coverage

Umbrella Coverage

Aviation Coverages

Real estate property owners with properties located over a widespread geographic area frequently own or lease aircraft so they can comfortably and quickly visit their locations or visit prospective new ones.

Aircraft Liability Coverage

Aircraft Passenger Liability Coverage

Aircraft Physical Damage (Hull) Coverage

Specialty Coverages

The following coverages could be vital for larger real estate operations but unnecessary for smaller operations. Of particular interest for older habitational buildings could be the lead contamination coverage.

Property and Casualty Coverages

Business Legal Expense Coverage

Cyberliability Coverage

Data Security Breach Coverage

Directors and Officers Liability Coverage

Environmental Impairment Liability Coverage

Fiduciaries Liability (Pension, Welfare And Employee Benefit Funds) Coverage

Identity Theft Insurance Coverage

Lead Paint Contamination Coverage

Recreational Trail Liability Coverage

Risk Retention Group Liability Coverage

Solar Energy System Coverage

Tax Liability Coverage

Tender Offer Defense Expenses Coverage

Terrorism Insurance Coverage

Underground Storage Tank (UST) Liability Coverage

Title Insurance Coverage

 

Life and Health Coverages

Affordable Care Act Coverage (ACA)

Athletic Team Accident Coverage

Group Health Insurance

Group Life Insurance

Individual Health Insurance

Key Person Life Insurance

Legal Expense Insurance

Partnership Coverage

Supplemental Medical Expense Insurance

Travel Accident Insurance