First Party Insurance...

  1. Can An Owner Recover Earthquake Damage Under The Owner's Property Insurance?


    2. • If The Policy Has An Earthquake Endorsement, There Would Be Coverage For Earthquake Damage.

  2. Can An Owner Recover For Other Types Of Losses Under The Owner's Property Insurance?


    3. • Yes. If There Has There Been "Direct Physical Loss Or Damage" To Covered Property.

  3. What Is "Direct Physical Loss Or Damage"?


    4. • Fortuitous, Active, Physical Forces Such As Lightning, Fire, Wind And Explosion Which Bring About A Loss.
    • If Land Under A Building Is Undermined, You May Be Able To Recover The Cost Of Stabilizing The Foundations Or Soils.

  4. What Are The Typical Exclusions Under A Property Policy?


    5. • Third Party Negligence
    • Inherent Vice, Wear And Tear, Deterioration
    • Earth Movement
    • Contractor Negligence
    • Latent Defect Or Inherent Vice
    • Faulty Workmanship Or Materials
    • Underground Water
    • Seepage Or Leakage
    • Pollution
    • Loss Caused By Enforcement Of Ordinance Or Law
    • Your Own Neglect

  5. What If Loss Is Caused By A Covered Peril And An Excluded Peril?


    6. • You Can Recover If The Predominating Cause Of The Loss Is A Covered Peril.

  6. How Do I Make A Claim?


    7. • Contact Your Insurance Agent.
    • Get A Proof of Loss Form.
    • Review The Policy If The Policy Specifies A Time.
    • Policy May Only Required "Prompt" Or "Immediate" Notice.

  7. What Must I Do After I Make A Claim?


    8. • You Have A Duty To Cooperate With Insurance Company.
    • You May Have to Give An Examination Under Oath.
    • Permit Investigation Of The Property.

  8. What Must The Insurance Company Do After I Give Them Notice?


    9. • Duty To Promptly Investigate.
    • Duty To Provide A Timely Response.

  9. What Can I Recover?


    10. • Replacement Cost --Cost Of Rebuilding The Building On The Same Site
    • Policy May Permit Cost Of Meeting Current Building Code
    • Policy May Include Business Interruption
    • Policy May Include Tenant Losses

  10. How Will The Deductible Apply?


    11. • Deductible May Affect Limits Of Coverage
    • Policy May Require You To Actually Pay A Specified Amount
    • Policy May Require You To Assume A Portion Of The Coverage Rather Than The Loss.
    • If More Than One Loss, Single Deductible For Each Loss.
    • Separate Deductible For Each Loss.

  11. Which Policy Will Pay For A Loss?


    12. • The Policy In Effect At Time Of The Loss.
    • If The Loss Occurs Gradually Over Several Policy Periods, The Insurance Company At The Time That The Loss Became Manifest Is Solely Responsible.
    • If The Loss Results From A Series Of Separate Events Over Several Policy Periods, The Insurance Company At The Time Of Each Event Is Responsible For The Damage Occurring During Its Policy Period.