Builders’ Risk Insurance

The builders’ risk insurance policy covers buildings during construction, renovation, or repair. Insurance is provided on the structure and materials used in construction. In most cases, materials are covered while in transit, at temporary storage locations, and while stored at the job site. The following are some of the issues to consider. Who … [Read more...]

Debris Removal

After a fire or other insured damage to your building, there will likely be debris that needs to be removed. Coverage is usually limited to 25 percent of the loss. The amounts paid for debris removal do not increase the total limit of coverage for the whole claim. It is, therefore, possible that you can run out of coverage. To help, insurers … [Read more...]

Bank Insurance Mistake – Inadequate Extra Expense Coverage

Undoubtedly your property insurance covers the repair of a bank building damaged by fire or windstorm. How about the increased cost of operations for the six to eight months it takes to get you back into the building? How will you pay for the rental of a temporary banking location or the cost of bringing in a mobile banking center? How about the … [Read more...]

Bank Insurance Mistake – Inadequate Umbrella Liability Limits

Umbrella liability insurance provides protection above and beyond the coverage included in your general liability, auto liability, and employer’s liability insurance. It’s an inexpensive way to increase your level of protection against someone suing you. Premiums can be as low as $750 per $1,000,000 of coverage. My minimum recommended limit for … [Read more...]

Bank Insurance Mistake – Coinsurance Penalties in Your Property Insurance Policies

Work with your insurance agent to eliminate any coinsurance clauses from your property insurance. Coinsurance is a penalty inside many policies that can hurt you at the time of a loss. It’s a penalty assessed when your insurance company thinks you are underinsured. Ask your agent if you have coinsurance in any of your property insurance … [Read more...]

How Much Extra Expense Coverage Does A Bank Need?

Extra expense coverage pays the increased cost of getting your bank back to serving customers after a fire, windstorm, or other insured calamity that damages your building. It will pay to relocate employees, rent temporary quarters, and rent temporary bank modules. The challenge in extra expense coverage is setting the amount of … [Read more...]

Not A Big Deal, Until It Is… Valuable Papers

After a fire standard property insurance will pay for the value of the paper in your file cabinets...  So, for every file cabinet you have your insurer will buy you two boxes of copy paper. Cool! Until you realize you need the information that was on those pieces of paper. That is what is called Valuable Papers. Valuable papers insurance … [Read more...]

Beware of Coinsurance

Coinsurance is a penalty provision found in most property insurance policies for underinsurance. It never helps you. It can only hurt at the time of a loss. Example – Underinsured Building With Coinsurance Property value: $1 million 80 percent coinsurance clause (requires the purchase of $800K of insurance) Amount of insurance: $750K Amount of … [Read more...]

Remember the Pollution Exclusion

Remember the Pollution Exclusion Over the past twenty years, the insurance industry has been hammered by the courts on pollution claims. Now, most standard insurance policies have pollution exclusions so broad that the industry calls them “absolute pollution exclusions.” Liability arising out of pollution is excluded by most general liability … [Read more...]

Bank Workers’ Compensation Code Change

Most states have moved to the new workers' compensation classification for banks. Unfortunately, not all insurance companies seem to be using the code.  Pull out your workers' compensation policy.  It should show all your payroll in a single code.  For most states, that will be "Code 8855 Banks, All employees." If your workers' compensation … [Read more...]