The ongoing COVID-19 pandemic has put commercial real estate businesses at a disadvantage. Stakeholders in these ventures are checking their insurance coverage to cover their losses. Here is where a Certificate of Insurance will come in handy.
A Certificate of Insurance (COI) provides an overview of the insurance policy. It states the kind of policy, the people you are liable to, and the policy’s expiration date. If you own commercial property, you need to request for a COI from your vendors and tenants. The COI is proof that you and your stakeholders have insurance to protect your business.
Check these tips when you review your commercial property insurance in relation to the COVID-19 crisis.
- Study and identify insurance products that will help your business.
The following is a list of the types of insurance that may be relevant to your needs in this situation:
- Event Cancellation Insurance
This insurance covers losses for canceled events due to the pandemic. Add an extension in the policy terms for communicable diseases.
- Workers’ Compensation Insurance
An employee can file for claims in case of infection or injury while working. The insurer can cover the employee’s wages and medical benefits.
- Commercial General Liability (CGL) Insurance
This covers damages filed by a third party. Damages can include bodily or personal injury or property damage. This can also include person-to-person transmission and contamination of property.
- First-party Property and Business Interruption Insurance
This will help cover for loss of income in case your business slows down or closes due to the pandemic.
- Supply Chain Risk Insurance
You can file claims if supply chain interruptions may result in physical loss to the insured property.
- Professional Liability Insurance
This covers lawsuits filed against management for failure to protect the business. It also includes neglect to take action, causing contamination of the property and financial loss.
- Make a list of possible risks that can effect business due to COVID-19.
Recognize what an interruption to your business may cost. Then list down probable liabilities of your business in this kind of crisis.
- Review contracts with partners if you are eligible for insurance coverage from them.
If you are eligible, request copies of their entire insurance policy. Review the terms to gauge your coverage.
- Read business contracts if you need to provide insurance coverage to your stakeholders.
Consult with your insurance agency and property partners. Make sure all are in agreement with the amendments to the policy. Ensure that the Certificate of Insurance reflects these changes.
Gathering and authenticating COIs can be a long, tedious process. However, it is an essential undertaking, especially now. Updating policy developments that should appear in the COI is yet another task. This leaves you with little time to focus on other business responsibilities that demand your attention.
The good news is that there are reputable experts in COI tracking who can help manage this for you. They offer a host of automated services to track and verify Certificate of Insurances on your behalf. This gives you an accurate and efficient way to organize these documents. You can schedule a free demonstration to learn how their services can help you.
Protecting your commercial property business is vital, especially during this pandemic. You will feel more at ease knowing what to do with these commercial property insurance tips and professional COI tracking.