Real Estate Insurance can be complicated. Sometimes your real estate property or community association demands more options, coverage and expertise. It’s important to find a solution that works for your unique solutions and exposures. Here are 6 Important Real Estate Insurance policies you should have in place:
Commercial Property Insurance
Commercial Property for real estate owners, condominiums and cooperatives is the primary coverage for insuring their risks. Commercial Property Insurance protects covered property from damages resulting from covered perils such as fire, theft and natural disaster.
Systems Breakdown Insurance
Real estate owners rely on technology and machinery every day to perform some of the most critical tasks. If equipment breaks down, it can cause a large financial burden in many ways. This is also known as boiler and machinery or equipment breakdown coverage. This coverage protects against breakdowns caused by power surges, motor burnout, boiler malfunction and operator error. It covers all sorts of equipment, including new technology, mechanical and electrical equipment, computers and communication equipment, air conditioning and refrigeration systems, boilers and pressure equipment. This coverage can pay for:
- The cost to repair or replace the damaged equipment
- Costs associated with the time and labor to repair or replace the equipment
- Business income losses when a covered breakdown causes a partial or total business interruption
- Other expenses incurred to limit loss or speed restoration
- The cost to replace spoiled stock or materials
General Liability Insurance
In today’s litigious environment, General Liability Insurance is an absolute necessity for real estate owners. This type of insurance is designed to pay for damages of covered lawsuits and the cost to defend any covered lawsuit or action regardless of its merit.
Commercial Umbrella Insurance
Today’s courtrooms are flooded with lawsuits and it seems like the sky’s the limit when it comes to legal settlements. Your underlying policies may not provide enough financial protection – this can leave real estate owners open to risk and make your assets vulnerable.
Awards and settlements resulting from lawsuits can be larger than the limits of liability provided by the underlying policies. Commercial Umbrella would provide higher limits of liability coverage if a settlement exceeded the limits of:
- General Liability Insurance
- Directors and Officers Liability Insurance
- Hired/Non-Owned Auto Insurance
- Workers Compensation/Employers Liability Insurance
Directors and Officers Liability Insurance
In these increasingly litigious times, your board of directors may be vulnerable to financially crippling lawsuits. Directors and Officers are exposed to risk because of the decisions they make. Through Directors and Officers Liability Insurance, you can obtain comprehensive coverage through a variety of outstanding insurance carriers to protect their interests and yours.
The lack of this coverage places the Board at risk for many common lawsuits such as discrimination against race, religion, gender, age, wrongful termination, sexual harassment, non-monetary damage lawsuits, third party breach of contract and personal injury such as slander, libel and false arrest.
Employee Dishonesty/ Crime/ Fidelity Bond Insurance
Today’s high-tech world creates new loss exposures that may be left undetected for years. Crime and Fidelity Bond insurance is designed to provide coverage from employee theft or misappropriation of funds. Most financial institutions, whether for the association or its individual owners, require the association to maintain a minimum limit of three months of maintenance. In addition, generally, the management firm is required to be considered an insured under the contract.
Check out the Clickable Coverage page to learn more about each of these coverages, plus many more.
At Mackoul Risk Solutions, we have been building customized insurance plans for over 30 years. Our knowledge, loss control, and ability to deliver insurance products through a vast array of insurance carriers enable us to provide comprehensive coverage, often at significant savings. We make it easy for you to get comprehensive coverage with customizable options. Contact us today for more information on your Real Estate Insurance policies or click here to get a quote.