Don’t Let a Slip and Fall Put Your Insured Out of Business
Have you ever had a customer who needed to rent space to operate their business, and the landlord required proof of insurance coverage before they would hand over the keys?
Business owners find that most commercial leases require tenants to obtain general liability coverage, and, in some cases, property coverage. This is a common requirement because landlords want to ensure they are not held responsible for the operations of tenants in a building or on property they own.
Requiring a tenant to carry their own insurance protects the landlord from a potential lawsuit caused by the tenant’s negligence or property damage. According to Lawfirms.com, tenants are liable for injuries sustained by any third parties, such as guests, while on their premises. Additionally, tenants who cause damage to their landlord’s buildings are responsible for repairing that damage.
Consider the following claims examples:
Tyler operates a used auto repair business and leases space from his landlord in a building that houses his office, a waiting area and a garage. A customer waiting for an oil change slips and falls in the waiting area, breaking his wrist. He sustains $4,500 in medical expenses. Tyler has a Premises Preferred policy that covers third-party slip and falls on his business premises; the policy would respond to the claim.
Mary rents an office unit from her landlord to run her property-management business. She uses a space heater in the winter, and one day it malfunctions and starts a fire. The fire damages property inside Mary’s unit, as well as the building outside her leased space, causing $90,000 in damages. Mary’s lease requires her to be responsible for any property damage caused by her occupancy of the building, so her Premises Preferred package policy will respond to the loss.
USLI’s Premises Preferred product offers business owners an affordable way to meet the requirements of their commercial leases. This product provides slip and fall coverage for the applicant’s premises. The general liability coverage specifically excludes products and completed operations and personal and advertising injury. This policy is ideal for business owners who have little to no products or professional liability exposures and are seeking the most affordable general liability policy.
Additional product advantages include:
- The ability to write as monoline general liability, monoline property or as a package
- Over 350 eligible ISO classes
- The ability to provide additional insured status and a waiver of subrogation for the landlord at no charge
- Up to $1 million in damage to premises rented to you (rating based on square footage)
- New ventures are eligible
Top classes include:
- Auto repair/sales
- Check-cashing offices
- Event planners
- Freight forwarders
- Internet retailers
- Pawn shops
- Property managers
- Tattoo parlors
- Temporary employment agencies
For more details, review our Hit Zone Product Underwriting Guide for the Premises Preferred product or call your Commercial Lines underwriter. Many Premises Preferred classes can be quoted over the phone. You can also quote online 24/7 at usli.com.
As always, thank you for your business and support.
Contact Steven Lee
Product Leader | 888-523-5545, ext. 7312
Contact Anupreet Randhawa
Assistant Product Leader | 888-523-5545, ext. 7323
Written by Elizabeth Shults
March 5, 2020