Property Managers, Property Owners, Coop Boards and Landlords research and deal with many different types of insurance policies for their property.  One of the most commonly overlooked (and one of the most important) types of insurance is the umbrella insurance policy.  It’s important to let your client’s know that primary coverage may not be enough to cover them in the event of a catastrophic claim.  This is where their umbrella insurance would come into play.

If you’re client is still not sold on their need to purchase umbrella coverage, you can suggest they consider the following factors:

• A tenant carrying her baby on an insured’s premises slipped on the floor, which she alleges was wet.  The mother landed on her infant, causing severe, permanent damage to the client’s hip and leg.  The claim value equaled $3,000,000.
• A commercial tenant decided to renovate the space he rented in a building.  After receiving permission from the landlord (who required a hold harmless contract), the tenant hired someone to come in and do the renovation.  One of the contractor’s workers fell down an elevator shaft and was severely injured.  Because the tenant did not have proper contracts with the contractor holding them harmless and naming them as an additional insured, he was found solely liable for the loss amounting to $2,500,000.
• An apartment manager received an application from a biracial couple and denied their application based on a falsified credit check.  The couple claimed discrimination based on race.  The general liability insurer’s definition of Personal Injury did not include discrimination; the umbrella coverage dropped down to respond to the claim amounting to $200,000.

Now that you’ve got your client’s attention about Umbrella Insurance, you may want to mention that New Empire Group provides a wide variety of umbrella programs for all of their Real Estate and Hotel coverage needs.  Our Umbrella program has limit options of $1 million, $5 million, $10 million, $15 million, $20 million, $25 million, $50 million, $75 million and $100 million for Community Associations, Apartments and most Real Estate risks.  New Empire Group also offers limits of $5 million, $10 million, $15 million, $20 million and $25 million for Hotel exposures.  Coverage is provided through the nation’s top carriers on a fully admitted basis in all states.

For more information about New Empire Group’s Commercial Umbrella Program, visit www.NewEmpireGroup.com or email [email protected]