Insurance Solutions for Property Owners & Associations

Owning property is one of most impactful and profitable investments, but still comes with its fair share of risk. Owners of apartment complexes, homeowner associations, townhomes, and commercial buildings all face their own unique risks and challenges as they strive to provide living and business solutions to the community. As a commercial property owner, we know you want to bring quality to every resident, and with our help you can secure coverage that allows you to focus on just that.

Packages for habitational business owners and lessors provide a range of options to meet your specific needs. Some of the essential coverages specific to property owners and associations are:

  • Building Coverage
  • Business Income
  • General Liability
  • Directors & Officers Liability
  • Equipment Breakdown
  • Lessor's Risk Coverage
  • Ordinance or Law Coverage

Property Coverage for Habitational

As a commercial property owner or investor, you want to first protect your investment. You already have expenses and costs in just maintaining your residential space, such as reroofing projects, ongoing landscaping, and sudden failures with heat pumps, air conditioners, and other essential equipment. You may have funds set aside for repairing or replacing this equipment, but you may not have enough to cover lost income during the time your units or dwellings are unlivable because of the mechanical failure. Equipment Breakdown coverage can provide income replacement while you wait for repairs to be completed or for installation of brand-new equipment. This helps protect your revenue so you can stay solvent no matter what comes your way.

If the apartment, condo, or townhome you own is damaged or destroyed, it may be challenging or perhaps impossible to have a sufficient budget or savings set aside to cover those repairs or a full rebuild. Building coverage is a key aspect of any habitational insurance policy since it covers the actual structure in the event it is damaged or destroyed. In the event of a covered loss, you can use your Building coverage to repair or rebuild the structure without the financial burden. Additionally, you can opt for Business Income coverage to reimburse financial losses during the repair or reconstruction phase if some or all of your rented properties are unlivable for your tenants.

If your property is damaged or destroyed and has to be fully or partially rebuilt, you will likely have inspectors coming to review the work. Properties may have been up to code when they were originally constructed, but with older buildings, a reconstruction event often reveals outdated methods that are no longer compliant with current laws and codes. Ordinance or Law coverage provides financial protection for unexpected expenses associated with bringing the rebuild up to current standards in the eyes of local enforcing agencies. This can include opting for more modern materials for wiring, plumbing, or roofing, which may come with a higher price tag. Ordinance or Law coverage easily fills the gap in costs to bring the building up-to-date after a covered loss.

Liability Protection for Associations

Many apartment complexes, condo communities, or townhome neighborhoods have shared community spaces. This may include an outdoor pool, a fitness center, or possibly an event room for dinners, parties, and celebrations for your residents. If someone is hurt in these common spaces, you may be held liable for their medical expenses and be faced with a lawsuit. General Liability protects you in questions of negligence so you can cover costs associated with injuries or damages caused to others. This is also important to carry in case a prospective tenant is injured while touring the property or units because of negligence, such as an uneven walkway, an exposed extension cord, or other hazard. It is best practice to maintain safe spaces as much as possible, but when the unexpected happens, General Liability will be there to cover legal expenses, medical bills, damage repairs, and even lost income to help keep your property going.

In some communities, associations are formed to manage and serve the residents. Homeowners associations, condo associations, and townhome associations also face unique risks since they are responsible for making decisions that affect the tenants and owners. Directors & Officers Liability protects individuals that serve in a managerial capacity or fiduciary role in the event they are sued by a community member for negligence. The causes of this type of lawsuit can vary greatly, so it is important to opt for this protection if you have an established board of directors overseeing your property. You can minimize this risk by conducting background checks and routinely monitoring the work of your directors and officers, but even with this, opportunities for fraud or errors can still occur. Directors & Officers Liability can cover you and your team in these situations.

Insurance Solutions for Lessors

If there is a question of negligence from one of your tenants, these claims are encompassed under General Liability. As a landlord, you have a duty to provide a safe home for your tenants, and if this standard of care is not upheld, it can lead to serious injuries or damages to those you lease to. If you are deemed responsible for a tenant's injuries or damage to their personal property, General Liability can cover legal expenses and costs to repair the hazardous areas that resulted in damage of injury. It is a critical coverage for all landlords to carry, even if you only own one commercial residential property.

Commercial lessors face similar risks, but may have greater liability than residential properties since there are often more tenants involved in commercial buildings than personal dwellings. General Liability is a crucial coverage for commercial property owners to ensure that injuries and damages caused to your commercial tenants are covered. By opting for General Liability coverage for your commercially leased spaces, you can have coverage for legal expenses and settlements in a lawsuit. Commercial spaces vary greatly depending on the type of business renting them, so it is always important to review potential hazards relevant to each industry to mitigate the risk of injury or damage as much as possible. No matter how clean and well-maintained your commercial space is, you cannot fully eliminate the risk of injury, so General Liability is a key coverage to have for any commercial space.

Uncertain of what you need for your commercial property or residential association? Our team of commercial agents is experienced in a range of habitational risks and is here to help find the right policy for you.