What is Pathpoint's Appetite for lessor's risk only (LRO)?

Overview

Available Classes

Appetite Information

Considered Risks

Markets

Additional Resources

How to Quote

Common FAQs

Related Articles

Our appetite for Lessor's Risk (LRO) includes General Liability (GL), Property, and Package. When you quote an LRO risk, you'll receive all eligible quotes across all lines of business for that risk. Then, you can mix and match carriers across different lines of business, ensuring you give your client every quote possible to get the coverage they need at the best price possible.

Our carriers quote the following LRO classes:

• Property TIV up to $5.6M per policy, $3.3M per location

• Property up to $10M TIV in AL. GA, FL, LA, MS, SC, and TX

• Wind-exposed coastal property, right up to the water

• Built as early as 1850; buildings prior to 1900 need complete building system upgrades within last 30 years

• Wind deductibles as low as 2%

• Excess liability up to $5m (providing excess to the LRO policy limits, not the tenant's operations)

  • 1-4 Family Dwellings LRO

    • 63010, 63011, 63012, and 63013 codes

    • Vacation rentals are excluded for excess

  • Apartments less than 250 units

    • 60010 Apartment Buildings

    • 60011 Apartment Buildings – Garden

  • Buildings or Premises codes LTO

    • 61212, 61216, 61217 and 61218 codes

    • Wide range of occupancies eligible, including restaurants, retail, offices, services, manufacturing, and more

  • Warehouses LRO

    • 68702 and 68703 codes

• Retail and habitational tenancies

• Locations with prior loss history

• New ventures without prior coverage

• Restaurant tenants with commercial cooking exposure

• Legal marijuana distribution and retail

• Vacation rentals including single dwellings, townhomes, and condo units

• Markel

• Nautilus

• Westchester

• Crum & Forster

• Vave

• Velocity

• Baleen Specialty

Appetite Guide

E&S Solutions for Habitational

Customizable Materials

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• Lessor's Risk Coverage Postcard for Agents

• Lessor's Risk Coverage Postcard for Agents (Southern States)

• Apartment Lessor's Risk Flyer

• Commercial Space Lessor's Risk Flyer

• Dwelling Lessor's Risk Flyer

• Shopping Center Lessor's Risk Flyer

Are tenants covered under a lessor's risk policy?

• No, lessor's risk insurance is a commercial insurance policy that provides coverage for property owners who lease their buildings to residential or commercial tenants. It typically includes protection against property damage, liability claims, and loss of rental income, medical payments, and defense costs.

What does lessor's risk insurance cover?

• Property Damage: Coverage for physical damage to the building caused by events like fire, vandalism, or natural disasters

• Liability Protection: Coverage for legal liability arising from injuries or property damage on the premises

• Loss of Rental Income: Coverage for lost rental income if the property becomes uninhabitable due to a covered peril

• Medical payments and defense costs: Coverage for third-party medical payments and litigation expenses

What is not covered by lessor's risk insurance?

• Lessor's risk insurance generally does not cover:

  • The tenant's personal property or business equipment

  • Tenant betterments unless specifically added to the policy

  • Normal wear and tear or maintenance-related issues

  • Intentional acts of damage by the property owner or tenant

How much does lessor's risk insurance cost?

• The cost of lessor's risk insurance depends on various factors, including:

  • The location and type of property.

  • The building’s value and construction type.

  • The number and type of tenants.

  • The desired coverage limits and deductibles.

  • The property owner's claims history.

How can a property owner reduce the cost of lessor's risk insurance?

• Safety Measures: Implementing safety features like security systems, fire alarms, and sprinkler systems.

• Regular Maintenance: Keeping the property well-maintained and addressing potential hazards promptly.

• Tenant Screening: Leasing to responsible tenants with a good track record..

Can tenants be required to have their own insurance?

• Yes, property owners can require tenants to carry their own insurance, such as commercial general liability insurance and renter’s insurance. This can be stipulated in the lease agreement to ensure that both the landlord and tenant are protected.

What does excess general liability (GL) insurance for a lessor's risk cover?

• Excess General Liability (GL) insurance provides an extra layer of coverage beyond a lessor's risk policy. It is crucial for landlords and property owners seeking to secure comprehensive protection against potential substantial liability claims that may surpass the limits of their primary general liability policy.

Are tenants covered under a lessor's risk excess policy?

• No, tenants are generally not covered under a lessor's risk excess policy

Does Pathpoint offer excess property coverage?

• We do not provide coverage beyond the total value of a property.

How do I classify Lessor's Risk tenancies?

What is Pathpoint's appetite for LRO cannabis tenants?

Can I mix and match coverages from different carriers?

Is binding for Mix & Match quotes different from traditional quoting?

Do you offer standalone excess liability?