Property Coverage

As it relates to fixed property as well as docks & piers and boat & yacht dealers.

What is actual cash value? Settlement on covered property for the depreciated value of the property.

What is replacement cost? Cost to repair or replace damaged property due to covered cause of loss with like kind or quality. This does not cover for upgrades to damaged property due to local or state codes.

What is agreed value? Carrier agrees to cover the property for an agreed limit and waves the coinsurance provision within the contract. Typically requires insured to cover the property at 100%.

What is Coinsurance? Provision within most insurance contracts which require insured to cover the property to either 80% or 90% of the actual cash value or replacement cost. This provision penalizes the insured in event property is underinsured, specifically affects the settlement on a claim which involves a partial loss.

What is business income, business interruption, loss of income, and loss of rental income coverage? Insurance coverage which can cover an insureds loss of revenue due to a covered cause of loss on covered property.

What is Ordinance or Law Coverage? Provides additional coverage to insureds for increased costs of construction due to a change in local codes, whether building, electrical etc. after a loss. As an example upgraded electrical for docks being replaced due to storm damage or building upgrades such as required addition of sprinkler system or elevator to facility.

What is a builders risk? Provides coverage for either a building, docks piers and bulkheads and or boats under construction. Coverage is generally purchased at the start of a build for the completed value of the construction.

What is yacht dealers coverage? Covers inventory of the boat dealer or yacht dealer.