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Q: Project-specific liability insurance coverage for real estate developer ( No Answer,   2 Comments )
Question  
Subject: Project-specific liability insurance coverage for real estate developer
Category: Business and Money
Asked by: slapshot66-ga
List Price: $125.00
Posted: 08 Nov 2004 10:40 PST
Expires: 08 Dec 2004 10:40 PST
Question ID: 426174
I am in the residential and commercial real estate development
business.  As the developer, I typically purchase raw land, improve
it, and then provide "finished" pads to builders. A finished pad means
that the pad is completely ready for construction to begin, with the
following items installed: water lines, sewer lines, storm water
management ponds and piping, main electricity lines, main phone lines,
roads, curbs, landscaping and parking lots.  I am in the process of
writing a contract with a home builder whereby the home builder will
be purchasing finished building pads.  The home builder is requesting
a 3-5 year warranty on all of the above items that I am responsible
for installing.  I need to identify and contact at least three
different insurance companies that write this type of liability coverage in the
state of Virginia.
Answer  
There is no answer at this time.

Comments  
Subject: Re: Project-specific liability insurance coverage for real estate developer
From: tkeyes-ga on 13 Nov 2004 15:10 PST
 
I am in the business and might be able to help you.  I am assuming you
need a warranty on just the finished pad, not the complete house. 
What is your sales volume?  Only asking because you are probably going
to run into a minimum premium situation.  We just looked at one for a
homebuilder in S. Florida that was a $250,000 minimum premium, but it
covered the complete house.
Subject: Re: Project-specific liability insurance coverage for real estate developer
From: slapshot66-ga on 15 Nov 2004 06:06 PST
 
tkeys-ga:
Believe it or not the coverage I need is to warranty all of the
development work.  The issue is that 1/2 of the lots are being created
as condominium lots even though they are single family-attached homes.
 The builder of the condominiums needs to give the the actual
condominium association an extended warranty that covers all of the
improvements within the condominium property.
Would you please tell me the agent/firm you were working with on the
pad warranty?  It seems plausible that the same oufit may be able to
extend coverage to the other items as well.
Thank you very much...Mike

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