DEDUCTIBLES WILL REMAIN HIGH AND COVERAGE IS GETTING WORSE Higher deductibles are going to remain common
should also anticipate increased restrictions on liability coverage. Many carriers are limiting or excluding protections in higher-crime areas, particularly for exposures such as assault and battery, sexual abuse, firearms, and habitability. At the same time, many major lenders are still requiring these coverages to be maintained. As a result, property owners may need to secure separate policies to meet these requirements, which can lead to additional costs. Also keep in mind that excess liability policies will follow the underlying policy forms, so if it’s excluded in the underlying general liability policy, it will be excluded in the excess liability policy.
throughout both standard and non-standard markets. Most carriers are shifting away from covering the smaller claims, which can ultimately benefit landlords by preserving a cleaner claims history. On the flip side, we are now entering a harder market for liability insurance, so be prepared for general liability and excess liability/umbrella policy premiums to increase. This increase is due to additional rating factors such as area crime scores, as well as increased instances of lawsuits against landlords. In addition to rising liability premiums, landlords
MOST CARRIERS ARE SHIFTING AWAY FROM COVERING THE SMALLER CLAIMS.
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