I have a client who bought a property that is commercially zoned. It use to be a bar on the first floor and apt/home on the second floor. He now uses the place a his primary home. It's brick building with a rolled flat roof. Is there anyone out there that would insure it as a HO-3 policy or a DP3 policy owner occupied? There is no commercial activity.
I Could Use Some Help Here
- Thread starter Johnboy
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- 385
If it is a commercial building, you need to write it as a commercial policy. The only way around that would be to place it with a carrier that won't inspect the property. However, I would still be leary of writing it as a dwelling as it could create a gap for the insurance company to get of if a large claim arose.
The new owner may have a better shot if he/she got it rezoned, but still not a guarantee. Your client should just lease at the first floor and let whatever business pay the mortgage.
The new owner may have a better shot if he/she got it rezoned, but still not a guarantee. Your client should just lease at the first floor and let whatever business pay the mortgage.
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Only hope there is talking w/ an underwriter, but I'd tell you to walk from this. At anytime a commercial exposure is right around the corner. This may be a candidate for a lititz mutual, erie, Tower (now amtrust..) lehigh mutual, cumberland mutual, millers mutual or even harford
- 385
Hartford wont write the habitational risk, at least my uw wouldn't. Pekin and Auto-Owners will, but the bar space on first floor may be tough. If you used the gl code for restaurant with less than ×% of alcohol sales, it might fly.
If you have access to Society, they will write bar exposure, but no clue with the personal residence on 2nd floor.
If you have access to Society, they will write bar exposure, but no clue with the personal residence on 2nd floor.
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