Planned units have become a very popular form of development in recent years. As more and more entrepreneurs put money behind commercial real estate, it is important to focus on how this changes insurance needs. Commercial developments like multi-family homes come with specific risks that require more involved insurance than other industries. Thankfully, it is not difficult to find coverage that fits your specific needs. Focus on the risks and demands placed on your business to find the right plan for you.
Specific Policies for Each Party
One key point to remember with planned unit development insurance is that you’ll need to have a separate policy from the people who purchase units from you. This might seem obvious, but things can get complicated when you own the real estate itself and other parties own individual units within the building. The residents are responsible for their own dwellings, while you’re in charge of more general concerns related to the property itself. Other points to consider when taking out insurance include:
- Errors and omissions coverage
- Directors and officers protection
- Workers’ compensation for employees
A Focus on What Matters
There are a number of areas to pay attention to with your planned development. Learn more about the basics of insurance for multi-family properties to make sure you are covering all your bases and protecting your assets.