Real Estate

This covers claims of financial loss due to a cyber attack or privacy breach. It should include both first party (breach response, loss of income, systems restoration, ransomware, data restoration) and third party (privacy liability, network security liability, regulatory liability) coverages.

Property covers your physical assets including buildings, contents, electronics, inventory, machinery and equipment when damaged by perils such as fire, flood, windstorm, or earthquake.  It can cover the cost to repair or replace the damaged property for Replacement Cost or Actual Cash Value.

Actual Cash Value (ACV) covers the cost to repair, rebuild or replace with like kind quality LESS: Depreciation (wear & tear).

Replacement Cost Value (RCV) covers the cost to replace with a new, similar product of like kind and quality.

For example, a fire occurs on your premises and damages a laptop purchased 5 years ago for $2,000. 

ACV – you will be reimbursed the value of a 5-year-old laptop in the same conditions as the one destroyed in the fire. In this, case, the settlement may be $500.

RCV – you will be reimbursed for the value of a new laptop of like kind and quality that was destroyed in the fire. In this, case, the new laptop of the same specifications costs around $1,500.

Covers the loss of income suffered by a business when their property is lost or damaged which causes them to cease or slowdown operations. Business Interruption is often included in commercial Property policies and include coverage for:

Business Income – pays for the loss of income and continuing operational expenses (mortgage, rent, lease, payroll, taxes and loan payments) when operations are forced to stop for an extended period of time.

Extra Expense – additional costs to keep your business running after loss such as renting leasing a temporary location, renting temporary equipment, paying employees overtime or hiring temporary workers.

Contingent Business Interruption – helps pay your lost income if one of your key suppliers or customers suffers a loss to their operations.

Civil Authority – covers lost income if a government entity denies access to your property. For example, mandatory evacuation order or prohibition of access due to a natural disaster.

Provides coverage for losses caused by mechanical or electrical breakdown of equipment, including production machinery, HVAC equipment, printers, photocopiers and computers. Covers the cost to repair or replace the equipment and any other property damaged by the breakdown. Business interruption and extra expense loss is often included. Stock spoilage from the loss of power, light, heat, steam or refrigeration can be covered as well.

Environmental Impairment Liability (or) Pollution liability insurance protects businesses against third-party claims and first-party exposures resulting from pollution conditions. These claims could be for costs associated with the cleanup of contaminated sites, third-party bodily injury, and property damage claims arising from environmental incidents, such as spills or leaks of hazardous substances. It can also address regulatory fines and legal defense costs related to environmental lawsuits.

Directors and officers (D&O) liability insurance is designed to protect individuals who are personally sued for wrongdoing while serving as directors or officers of an organization. It provides coverage for defense costs and any resulting settlements the directors, officers and the organization are required to pay.

Wrongful acts and allegations covered under D&O policies include:

• Errors, misstatement or misleading statements
• Acts of omission or neglect
• Attempted or committed breaches of duty

Covers bodily injury or property damage claims from a third party as a result of your business operations. It usually includes personal & advertising injury, products-completed operations and can include extensions for tenant’s legal liability and medical payments.