Commercial Property Insurance Program Review Checklist
Annual property insurance review ensures coverage remains adequate as property values and exposures change. This checklist guides systematic review of all commercial property insurance coverages for renewal optimization.
- Industry: Real Estate
- Frequency: Annual (at Renewal)
- Estimated Time: 30-45 minutes
- Role: Property Manager / Risk Manager
- Total Items: 31
- Compliance: BOMA International Property Management Standards, IRC Section 1033 - Involuntary Conversions and Insurance Proceeds, Coinsurance Requirements per Standard Property Policy Forms, State Insurance Regulations for Commercial Property
Building Replacement Cost Valuation
Verify replacement cost is current.
- Building replacement cost appraisal completed within past 3 years?
- Replacement cost adjusted for construction cost inflation in current market?
- Tenant improvements and betterments included in insured value?
- Current insured value meeting coinsurance requirement (80-90%)?
- All building equipment and systems included in replacement cost?
Business Interruption Coverage
Review BI coverage adequacy.
- Business interruption or loss of rents coverage in place?
- BI indemnity period adequate for full restoration (typically 18-24 months)?
- BI limit equal to 12-24 months gross income from property?
- Extended period of indemnity for tenant re-occupancy included?
- Rental value insurance covering loss during vacancy after casualty?
Special and Catastrophe Coverages
Review catastrophe exposure coverage.
- Flood coverage in place (NFIP or private) if property in flood zone?
- Earthquake coverage in place if property in seismic zone?
- Wind and hail coverage adequate for property location?
- TRIA terrorism coverage evaluated per property location and tenant exposure?
- Pollution/environmental liability coverage for any known site conditions?
Liability Coverage
Review liability coverage adequacy.
- General liability limits adequate for property type and occupancy ($2-5M typical)?
- Umbrella or excess liability coverage in place?
- Premises and operations liability covering slip/fall and premises defects?
- Property management E&O coverage in place?
- D&O coverage for REIT or ownership entity if applicable?
Loss History and Renewal Strategy
Review loss history and renewal approach.
- 5-year loss runs obtained from current carrier?
- Any large losses with root cause addressed to improve renewal terms?
- Renewal marketed to multiple carriers for competitive pricing?
- Deductible level analyzed against claims history for self-insurance optimization?
- Insurance premium budget for renewal year established?
Documentation
Maintain insurance documentation.
- All current policies and endorsements filed and accessible?
- Lender certificates of insurance current with mortgagee endorsements?
- Property damage claim reporting procedures documented for staff?
- Insurance broker and carrier emergency contacts documented?
- Annual insurance program review report prepared for ownership?
- Insurance renewal bound before policy expiration date?
Related Real Estate Checklists
- Commercial Lease Compliance Audit Checklist
- Eviction Notice and Lease Termination Compliance Checklist
- Real Estate Environmental Site Assessment Checklist
- Commercial Real Estate ADA Accessibility Audit Checklist
- Property Management Move-In Condition Report Checklist
- Property Management Move-Out Inspection Checklist
- Real Estate Property Showing Preparation Checklist
- Property ADA Accessibility Compliance Checklist
Related Regulatory Compliance Checklists
- Commercial Lease Compliance Audit Checklist - FREE Download
- Eviction Notice and Lease Termination Compliance Checklist - FREE Download
- Real Estate Environmental Site Assessment Checklist - FREE Download
- Commercial Real Estate ADA Accessibility Audit Checklist - FREE Download
- Landlord-Tenant Dispute Documentation Checklist - FREE Download
- Property Tax Assessment Appeal Documentation Checklist - FREE Download
Why Use This Commercial Property Insurance Program Review Checklist?
This commercial property insurance program review checklist helps real estate teams maintain compliance and operational excellence. Designed for property manager / risk manager professionals, this checklist covers 31 critical inspection points across 6 sections. Recommended frequency: annual (at renewal).
Ensures compliance with BOMA International Property Management Standards, IRC Section 1033 - Involuntary Conversions and Insurance Proceeds, Coinsurance Requirements per Standard Property Policy Forms, State Insurance Regulations for Commercial Property. Regulatory-aligned for audit readiness and inspection documentation.
Frequently Asked Questions
What does the Commercial Property Insurance Program Review Checklist cover?
This checklist covers 31 inspection items across 6 sections: Building Replacement Cost Valuation, Business Interruption Coverage, Special and Catastrophe Coverages, Liability Coverage, Loss History and Renewal Strategy, Documentation. It is designed for real estate operations and compliance.
How often should this checklist be completed?
This checklist should be completed annual (at renewal). Each completion takes approximately 30-45 minutes.
Who should use this Commercial Property Insurance Program Review Checklist?
This checklist is designed for Property Manager / Risk Manager professionals in the real estate industry. It can be used for self-assessments, team audits, and regulatory compliance documentation.
Can I download this checklist as a PDF?
Yes, this checklist is available as a free PDF download. You can also use it digitally in the POPProbe mobile app for real-time data capture, photo documentation, and automatic reporting.