This covers the structures as listed on the declarations of the insurance policy. The insurable value of the building is based on the cost to rebuild the structure as determined by several factors including; existing appraisals, automated rebuild cost estimator software, and client request. The building coverage of your apartment building insurance policy will generally account for the largest portion of your premium. Certain policies include fixtures as well, which are permanently attached business property items. In regards to apartment building insurance think of items like stoves, washing machines, and dishwashers. Make sure to read your policy carefully as definitions can vary!

Building Ordinance Coverage is one of the most overlooked policy coverage options on apartment building insurance policies, but it is very important for you to understand and consider. Most standard insurance policies will afford coverage for the indemnification of the covered apartment building to the condition prior to the loss. What is not covered is the increased cost to remodel, repair, or rebuild due to changes in federal, state, and local building codes. Building ordinance coverage was created to fill this void in standard apartment building insurance policies.

Coverage A: Coverage for loss to the undamaged portion of the building
Coverage B: Coverage for the cost of demolition
Coverage C: Coverage for the increased costs of construction