PRESENTED BY GREAT PRAIRIE RISK Third Party Administrator and - - PowerPoint PPT Presentation

PRESENTED BY GREAT PRAIRIE RISK Third Party Administrator and Claims Management Group dedicated to the Multifamily Housing Industry

• Leaving compliance to Property Managers – Not the correct approach
• Property Managers are too busy with day to day operational issues
• Insurance paperwork sent to properties gets lost in the shuffle - Takes a back seat

to the daily pressures of running an apartment community

• Property Managers don’t necessarily understand or appreciate the potential

consequences of not following up in the event of policy cancellation or non- renewal

• New leases and lease renewals (revenue) are primary objectives for Property

Managers

GREAT PRAIRIE RISK

GETTING STARTED

• Create portfolio database – Separated by property
• Start with rent rolls and copies of all certificates on file
• Great Prairie Risk notifies renters’ carriers and

producers/agencies of our status as agent of the landlord

• Required to notify Great Prairie Risk of any changes in coverage,

cancellation, or non-renewal

• Landlord is interested party to the insurance coverage pursuant to the

lease, or a certificate holder, or is similarly situated to a mortgagee

• Failure to notify may result in a claim being asserted against the carrier,

producer, or agency

• New resident information
• Insurance verification upon move-in
• Rent rolls on a quarterly basis – Allows for checks and

balances on new resident information

• Any change in Property Managers – Allows us to educate
• n the importance of the program
• Repetition is the key to a meaningful compliance program

• Track expiration dates of existing policies
• We become your official “Notice Entity” for

any changes in coverage

• Immediately contact Property Managers if a

change is communicated to us

• Provide quarterly exception reports to

management

• Majority of work occurs within first few months
• Portfolios with approximately 20,000 units

compliant within 3-4 months

• Key is communication and interaction with

Property Managers

• Repetition, Repetition, Repetition

• Dedicated team – Their only job is verifying and tracking

insurance coverage

• Risk of incurring an uninsured loss significantly less than if

program is self-administered

• Track the percentage of coverage by carrier(s) on your

portfolio

• Marketing tool for property insurance renewals
• More time available for Property Managers to do what

they do best – Run the community

• First year - $6 per unit (units not utilizing a preferred carrier)
• Subsequent years - $4 per unit
• Preferred carrier units - $2 per unit for identification and tracking

purposes (assuming the preferred carrier is providing coverage notifications to management)

• Portfolios in excess of 20,000 units will receive additional price reductions
• Multi-year contracts allow for additional savings
• Allocate costs back to properties
• One or two uninsured losses can easily exceed the cost of this program

Illinois Office: 111 S. Pfingsten Road, (Main Office) Suite 165 Deerfield, Illinois 60015 Florida Office: 2340 Periwinkle Way, Suite M2 Sanibel, Florida 33957 Colorado Office: 720 S. Colorado Blvd. Suite 452-S Denver, CO 80246