Building Code Insurance: Are You Covered?
Business Insurance Bulletin

Most businesses find out too late that fire policies generally exclude coverage for changes in building codes, leaving them with the financial burden of replacement.

Building Code insurance is an important, yet overlooked coverage that can save you money and the frustrations arising out of unknown insurance policy exclusions.

For example, when Dan's Construction Company burned to the ground, Dan assumed his insurance policy would cover replacement costs. However, due to changes in building codes, Dan didn't realize he needed to replace his wooden floor with a new foundation and cement. The difference in cost for replacement of the cement floor and new foundation was $30,000. Dan's in­surance policy did not cover the extra replacement costs because he did not previously comply with the building code. When Dan took his insurance company to court, the judge pointed out the existing exclu­sion on his policy for building codes, and Dan was made to pay the extra replacement costs.

Finding out what the building codes are in a particular city is often difficult, but this information is im­perative to staying in business. We can provide you with the coverage you need to make sure you avoid future losses.

We are pleased to provide "Business Insurance Bulletin' as a service lo you. our clients While this information was obtained from sources believed to be reliable, its accuracy is not guaranteed. It does not change or alter insurance contracts or coverages. Please contact us for more information on your individual policies.
 

What’s Your Liability When Liquor is Served?
Business Insurance Bulletin'

An employer-sponsored picnic in which an employee drinks too much alcohol and injures another person in an auto accident immediately after leaving the party could be held responsible. Each state jaw is different in their treatment of this potential liability.

Businesses which deal with the sale of liquor such as liquor stores, liquor wholesalers, bars and taverns, restaurants, and catering services should be sure their insurance representatives are aware of all aspects of their operations, since most business liability insurance policies exclude liability arising out of the manufacturing, distributing, selling serving or furnishing alcoholic beverages.

It is important that you let us know of any business-sponsored event involving the use of liquor before the event occurs so we can amend your policy to provide suitable protection.  Details such as whether or not a license is required, frequency of service, amount of receipts (if any), and other details will help us arrange protection in the most economical, yet effective manner.  Contact our firm if you have questions about this, or if you wish us to review your exposure to this type of liability loss.

We are pleased to provide "Business Insurance Bulletin' as a service lo you. our clients While this information was obtained from sources believed to be reliable, its accuracy is not guaranteed. It does not change or alter insurance contracts or coverages. Please contact us for more information on your individual policies.