Real estate
Manage your buildings with protection adapted to your reality. Our experts understand the risks specific to the real estate sector and support you in implementing comprehensive and strategic insurance solutions.
QuoteSolutions adapted to property management
Managing a building or real estate portfolio requires a structured approach to risk. Whether you are a condominium syndicate, property owner or property manager, our brokers support you in analyzing and protecting your assets.
We help you develop effective insurance strategies adapted to the reality of your sector.
The coinsurance clause in real estate
In real estate insurance, the coinsurance clause is an important clause that can directly affect your compensation in the event of a claim. It generally varies between 80% and 100% depending on the contract.
If your building is underinsured, you may not be compensated for the full actual damage and may become partially responsible for the loss.
This is why it is strongly recommended to have your building assessed by a certified appraiser to ensure adequate protection. Our brokers can help you understand this clause and optimize your coverage.
Essential protection for your building
Groupe AFER can implement an insurance strategy adapted to your real estate portfolio, including:
Protects your buildings against property damage and compensates financial losses related to a business interruption.
Covers damage caused by a sudden breakdown of your mechanical, electrical or technical systems.
Protects you in the event of property damage or bodily injury caused to third parties in the course of your operations.
Provides protection against financial losses related to fraud, theft or misappropriation of funds.
Protects decision-makers against claims related to their decisions or management.
Covers risks related to contamination, spills or environmental impacts.
Protects your organization against IT incidents, data breaches and cyberattacks.
Covers errors, omissions or negligence that may cause financial harm to a third party.
Supports you in managing disputes and covers certain legal expenses.
Provides financial protection in the event of an accident affecting owners or employees.
How the coinsurance rule works
- Replacement value of the building: $1,000,000
- Insurance amount: $500,000
- Coinsurance clause: 90%
- Loss: $300,000
- Insurance amount that should have been purchased: $900,000
- Amount the insured would receive = $166,667 less the deductible
- That is, 500,000/900,000 X $300,000 = $166,667
In this example, the insured would lose $133,333 because they do not comply with the coinsurance clause.
An incorrect insurance amount can be extremely damaging financially. It can delay the completion of certain projects, prevent you from making necessary repairs, reduce the value of your property and sometimes even lead to bankruptcy.
