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In Part Two of our Four-Part C.O.P.E. (Construction, Occupancy, Protection, Exposure) Underwriting Series, we will discuss Occupancy considerations for underwriting commercial real estate risks.  An important underwriting concern is the nature of the operations conducted in the building that could start or contribute to the spread of a fire or other potential losses.

Occupancy considerations your Underwriter is looking out for when rating your condominium association, apartment building or cooperative…

• Are there storefronts as well as apartments on the premises?  If so, the contents and business personal property that are found on the premises can be attractive targets for theft.
• If a ‘high-profile’ individual is residing in the condominium or cooperative, can this cause an emotional social response? How does an emotional social response lead to higher loss potential? Could the fact that this ‘high-profile’ individual is living at this premises have potential for loss or damage caused by vandalism, burglary and arson?
• Vacancy level and owner occupied vs. tenant occupied units are a concern for most condominium associations. It is preferred that the condominium association is owner occupied because owners have an active interest in the association.

Check back for Part III of our four-part C.O.P.E. series where we’ll be talking about ‘Protection’ considerations when underwriting a commercial real estate risk.

In case you missed it, below is the link to Part I of this four-part series where we have discussed Construction considerations.

Construction Considerations for Commercial Real Estate Risks

 Keep up to date with what’s new at New Empire Group, Ltd. by visiting our website, www.NewEmpireGroup.com or find us on Facebook, LinkedIn & Twitter to learn more about our monthly raffles!

Check out the great Insurance Programs for Condominium Insurance, Cooperative Insurance, Apartment Insurance and Property Manager’s Insurance that New Empire Group, Ltd. offers!

Making a positive impression on those around you may be more difficult than it seems.  Even though it has become “the norm” to do things such as checking your cell phone in the middle of a meeting or using text slang in company emails, this is not proper business etiquette.  By making a conscious effort to kick these bad habits you will be more likely to make a good impression on the people that you meet and interact with on a daily basis.

Here are a few old rules of business etiquette that should never be abandoned…

1.)    A hand-written Thank You Note is worth 1,000 Emails – Sure, it may be easier to type up a quick email thanking someone for something they’ve done for you, but wouldn’t you feel good if someone took the time to actually hand-write a note and send it to you?  There is no limit to when or why you can send a thank you note.  You can send one after an interview, after someone has gone out of their way to help you or if someone did something nice that surprised you (maybe sent an unexpected gift or praise).  This sort of practice reflects well on you as well as the agency you work for.

2.)    Get to know people’s names – Whether it is the mail-man, your co-workers in other departments or your clients, taking the time to learn someone’s name and actually using it when you interact with them will help you form a connection with that person.  They will feel as though they are important to you, even if they are only delivering your mail.  This will also make people more inclined to help you if you ever needed it.

3.)    Be Polite, even when you really don’t want to – It can be tough trying to keep your cool when someone is lecturing you, snapping at you, seems rude or condescending in an email or you pick up the phone and an irate client is on the other end.  The old saying goes, “Be kind, for everyone you meet is fighting a hard battle”.   Try to remember; sometimes people displace their anger about different situations on anyone who is in their path.  Try to diffuse the situation with a polite and calm demeanor.

4.)    Be on time – If you’re not on time, this gives off the impression that the meeting or appointment you are supposed to be attending is not a priority to you.  Punctuality is one of the most important components of business etiquette.  Other people’s time is just as valuable as your own, so if you’re going to be late, or cannot make the appointment, call the person and let them know so they do not waste their time waiting for you.

Keep in mind, actions speak louder than words.  Follow these rules to ensure you are sending the right message about yourself to everyone around you.

Keep up to date with what’s new at New Empire Group, Ltd. by visiting our website, http://www.newempiregroup.com/ or find us on Facebook, LinkedIn & Twitter!

Check out the great Insurance Programs for Condominium Insurance, Cooperative Insurance, Apartment Insurance and Property Manager’s Insurance that New Empire Group, Ltd. offers!

Insurance Underwriting is described as the process of classification, rating and selection of risks.    Most of you know that when rating Commercial Real Estate Risks, particularly condominiums, Underwriters have several considerations to watch out for.  The acronym they use to ensure they cover all potential loss considerations is, C.O.P.E. (Construction, Occupancy, Protection, Exposure).  In the first section of this four-part series we will cover the ‘Construction’ section of the C.O.P.E. acronym.  When considering Residential Real Estate Risks Underwriters have several considerations to watch out for. The susceptibility of the building or structure to damage is directly impacted by the locations construction characteristics.

Things your Underwriter is looking out for when rating your commercial residential risks…

• Most people know that the construction type impacts the quality of the risk. Is the building construction wood or frame?  This is important because wood is highly susceptible to fire spreading and can cause extensive damage as opposed to using fire-resistant materials that reduce the spread of fire and the resulting damage if a fire does begin. One thing that is often overlooked though is whether or not the building has fire divisions.  This is something you should include in your submissions.
• For risks that are located in areas subject to tornadoes, hurricanes, earthquakes or wind losses, are the buildings constructed to protect against this cause of loss?  Is there a Capital Improvement Budget and Maintenance Plan included?
• What is the age of the building and how often are the heating system, roof, plumbing and electrical systems updated or replaced?  When any of these systems or components are not properly maintained or updated the potential for one of them to cause or contribute to a loss increases.
• Was the building originally built as a condominium? Many condominiums are converted from apartments, hospitals, libraries or other structures. Were the Electrical, plumbing and HVAC systems updated when the conversion took place?

 These are items that might be overlooked or left off of a submission but will eventually have to be answered.  To speed up the underwriting process on your submission, try to include all of the above mentioned information.

Check back for part two of our four-part C.O.P.E. series where we will be talking about ‘Occupancy’ considerations.

Keep up to date with what’s new at New Empire Group, Ltd. by visiting our website, www.NewEmpireGroup.com or find us on Facebook, LinkedIn & Twitter!

Check out the great Insurance Programs for Condominium Insurance, Cooperative Insurance, Apartment Insurance and Property Manager’s Insurance that New Empire Group, Ltd. offers!

When considering Property Managers E&O programs ”Failure to place or failure to maintain insurance” coverage would rank at the top of any list addressing the exposures facing property managers.  Unfortunately this valuable coverage is most often excluded by most Property Management E&O coverage forms.

It is obvious that property managers who play a role in the acquisition of insurance for their clients need to address this exposure.  It may not be as obvious that property managers who are not involved in this process can also find themselves involved in litigation and desiring the defense of a frivolous accusation.

As I’m sure you’ve concluded, this valuable coverage is provided by our Property Managers E&O Program.

Applications and a listing of our Property Manager’s E&O Programs other coverage features are available at www.newempiregroup.com.

As always, we’re happy to provide a complete comparison of our E&O Program to any form that you are working with and are available to answer any questions that you may have.

New Submissions can be sent to newbusiness@newempiregroup.com

For more information contact Emma Mahnken at emmam@newempiregroup.com. 

New Empire Group, LTD. offers coverage for Property Managers, Community Associations and Apartment Building Owners!

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