Much has been written about trees and homeowners policies but what about commercial lines forms? Do they cover trees differently than personal lines forms? And what about the business income exposure presented by the loss of trees and their removal? This article examines these issues and references related articles from the VU library.
In the event of partial losses, the limit of insurance is usually adequate to include the cost of debris removal. However, in some cases, the limit might not be adequate or the commercial property form’s debris removal sublimit might restrict coverage. That begs the question, “How much debris removal coverage do I need?” For this…
With increased costs in this hard market, many insureds want to reduce their premiums. One way to do that is through the use of deductibles. But, how large a deductible is appropriate for your insureds? In this article, we’ll give you some tips from our faculty and several top risk managers that may help you…
An insured had an open lot business and stored a substantial amount of business personal property (BPP) in an enclosed shed. They did not insure the shed. Thieves stole $5,000 worth of BPP. The adjuster says it isn’t covered because it wasn’t in a DESCRIBED building, but it would have been covered if in the…
This is Part 1 of 2 from my Agent & Broker magazine column that generated the most “fan mail” of any columns I’ve written over the years. If you use “toy” valuation systems like room counts or square footage in determining building values (in either commercial or personal lines), you need to read this two-part…
This is Part 2 of 2 from my Agent & Broker magazine column that generated the most “fan mail” of any columns I’ve written over the years. If you use “toy” valuation systems like room counts or square footage in determining building values (in either commercial or personal lines), you need to read this two-part…
You’d think after 100+ years of application that coinsurance questions would rarely arise. However, few commercial property provisions are debated more often than coinsurance. In this article, we’ll take a look at several coinsurance issues – a couple of them basic, but fundamentally important, and another one a little more complicated – and we’ll also…
The building is currently insured for replacement cost. The insurer did a new valuation and said the policy limit is 70% of the RC value, which would result in a coinsurance penalty for a partial loss. Is the insured who probably won’t rebuild with a total loss better off, if the company will allow it, remaining at RC…
Under the valuation condition in a property policy, you can choose to settle a claim using ACV instead of RC (even if you have RC on the declarations page). In such a case, if there is a coinsurance penalty, is it based on ACV or RC? In this article, which builds on a prior article, we’ll…
Your insured is a contractor. He wants to repair insured damage to his own building to ensure that the job is done right. Or, let’s say he negligently causes damage to a customer’s property that is covered by his CGL policy and wants to make repairs himself. Is the insurer obligated to pay an amount…
