property coverages, top to bottom
If your insurance program includes Building, Contents and/or Loss of Income coverage, expect any damages that aren’t specifically excluded to be covered. In other words, your coverage is written to cover “all risk.” Unless your Insurance Overview notes otherwise, you can also expect coverage for the replacement cost of your property; the insurance company doesn’t deduct for depreciation when you experience a loss.
Further details about your coverage:
- Each location is obligated to insure the Building, Contents ,and Loss of Income and Extra Expense to the full replacement cost value.
- Coverage for flood and earth movement have higher deductibles and varied coverage limits. Please refer to your Insurance Overview for location-specific information.
- Personal property of resident house directors is covered up to a limit of $15,000 per occurrence subject to a deductible of $500 per occurrence. This coverage is excess over any other collectable insurance coverage. If other coverage exists, this coverage will reimburse the house director for up to $500 per occurrence, to be applied to a deductible.
- Personal property of resident members is not covered. The program does provide a homeowner’s policy deductible reimbursement of up to $500 per person with an annual aggregate limit of $50,000. This coverage is intended to reimburse a parent’s homeowner’s policy deductible or a tenant’s policy deductible for a loss that occurs at the chapter house. This extension applies to theft claims when the total loss is at least $2,500.
- A remodeling project may affect your coverage. Contact us to discuss the details.
When your property is damaged and can’t be occupied, your coverage includes the lost rental income during the period of repair or rebuilding, up to 24 months. Coverage can continue for nine months after the date the property is repaired or rebuilt if the timing of the loss causes residents to commit to other housing contracts for the entire school year. It also covers extra expenses incurred so that you may continue normal operations after damages occur.
Your property policy does not cover mechanical breakdown, electrical injury, and steam explosion of boilers or pressurized vessels. To insure your property for these perils, you need the Electrical Breakdown coverage, which provides in cases of direct damage, loss of income, extra expense, and includes a separate limit for consequential damage—food spoilage.
Typically, insurance companies are very concerned about providing property insurance coverage for buildings that are vacant. When no one’s in a building, claims are much more likely, especially those from broken pipes, vandalism, theft, and sprinkler leakage.
We understand that chapter houses will be closed for the summer and during other academic-year breaks. Your insurance policy stays intact as long as a break does not extend beyond 120 days. (And if that’s the case, we may still be able to help. Contact your MJ Account Executive to discuss.)
Your deductible rises to $10,000 per occurrence when your building is vacant unless you hire a live-in property caretaker. Make sure you contact us with the details so that there’s no discrepancy if a loss does occur.
house & property coverage
What We Do
For everything related to house and property, we’re your expert and partner. We’ll tailor an approach for your historic property, review your lease, and monitor your water systems to avoid costly leaks.
Historic Properties Coverage
What works for a modern property is likely to be all wrong for one listed on a register of historic places. Modern materials and workmanship to repair damage may not meet your obligation to maintain the integrity of your historic building.
We offer historic properties coverage for reproduction costs of listed historic properties. This coverage provides for repairs that maintain your historic designation.
To qualify, submit an appraisal of your chapter house that establishes its historical value and worth. We’ll add this important additional coverage to your policy at a rate of 5 percent over your standard property rate.
Is your lease in line with your insurance coverage? Deciphering the details can be tricky, but we’re here to help. Spot issues before you sign a lease for your group by putting our experience to work.
We’re happy to review the insurance provisions or indemnifications on any type of lease, including standard rental agreements, leases from a chapter to a third party, and university housing agreements.
When a contract requires Additional Insured status, we’ll do the legwork with your headquarters or executive council to reach an agreement.
For review of any landlord or university lease, please contact your Client Executive. Make sure you get in touch 30 days before you plan to sign so that we have the time we need to thoroughly assess your contract.
If you have additional concerns about your property coverage or need more detailed guidance, we’re happy to help.
For answers to common questions related to properties, facilities, liabilities, and coverages, check out our FAQs.