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When it comes to insurance needs and risk management for development projects, you want to make sure that you have all of your bases covered. Dangers and hazards are everywhere at construction sites, and it’s nearly impossible to ensure everyone’s safety 100 percent of the time. Not only could the contractors and subcontractors working at the site suffer injuries, but someone not involved may also end up injured depending on the circumstances. In addition, the potential for inadvertent damage to your property or a neighboring property also exists. How are you going to cover everyone? Enter the OCIP Perhaps your development needs an OCIP, which stands for owner controlled insurance program. This general liability insurance exists to cover everyone involved in the project from you, as the property owner, down to the subcontractors. Even if someone else on the project causes damage or suffers an injury, it will eventually lead to you, so making sure that there is enough insurance to go around may prove useful. Seasoned developers may be wondering why something that used to exist only for projects worth at least $50 million ends up on smaller projects. These days, it saves everyone time and money since only one policy exists instead of several — one policy for one project. The intent of an OCIP is to simplify the process. Negotiating and paying for the OCIP You and the general contractor work out the details of the policy, which the general contractor then purchases. The general contractor hires subcontractors at lower rates since they won’t need to carry their own liability insurance for the project. The project manager is the point of contact for claims and is responsible for the payment of deductibles. Whether the subcontractor that caused the damaged in the claim pays any of the deductible is a point of negotiation when the subcontractor is hired and should be outlined in the resulting contract. Coverage and the OCIP At the very least, the OCIP contains workers’ compensation insurance and commercial general liability insurance, but it may also contain one or more of the following depending on the needs of the parties involved and the project itself: Builders risk insurance Umbrella insurance Professional liability insurance Pollution liability insurance An OCIP may not contain the following types of insurance: Commercial property insurance Commercial vehicle liability insurance Inland marine insurance To learn more about the advantages and disadvantages of an OCIP, along with whether it makes the most sense for your project, you may want to sit down with an attorney with experience in risk management and insurance. It would also be beneficial to have an advocate on your side when it comes time to negotiate the terms of your project’s insurance policy or policies to make sure you receive the best possible terms.

When it comes to insurance needs and risk management for development projects, you want to make sure that you have all of your bases covered. Dangers and hazards are everywhere at construction sites, and it’s nearly impossible to ensure everyone’s safety 100 percent of the time. Not only could the contractors and subcontractors working at the site suffer injuries, but someone not involved may also end up injured depending on the circumstances. In addition, the potential for inadvertent damage to your property or a neighboring property also exists. How are you going to cover everyone? Enter the OCIP Perhaps your development needs an OCIP, which stands for owner controlled insurance program. This general liability insurance exists to cover everyone involved in the project from you, as the property owner, down to the subcontractors. Even if someone else on the project causes damage or suffers an injury, it will eventually lead to you, so making sure that there is enough insurance to go around may prove useful. Seasoned developers may be wondering why something that used to exist only for projects worth at least $50 million ends up on smaller projects. These days, it saves everyone time and money since only one policy exists instead of several — one policy for one project. The intent of an OCIP is to simplify the process. Negotiating and paying for the OCIP You and the general contractor work out the details of the policy, which the general contractor then purchases. The general contractor hires subcontractors at lower rates since they won’t need to carry their own liability insurance for the project. The project manager is the point of contact for claims and is responsible for the payment of deductibles. Whether the subcontractor that caused the damaged in the claim pays any of the deductible is a point of negotiation when the subcontractor is hired and should be outlined in the resulting contract. Coverage and the OCIP At the very least, the OCIP contains workers’ compensation insurance and commercial general liability insurance, but it may also contain one or more of the following depending on the needs of the parties involved and the project itself: Builders risk insurance Umbrella insurance Professional liability insurance Pollution liability insurance An OCIP may not contain the following types of insurance: Commercial property insurance Commercial vehicle liability insurance Inland marine insurance To learn more about the advantages and disadvantages of an OCIP, along with whether it makes the most sense for your project, you may want to sit down with an attorney with experience in risk management and insurance. It would also be beneficial to have an advocate on your side when it comes time to negotiate the terms of your project’s insurance policy or policies to make sure you receive the best possible terms.

When entering into a lease agreement for your commercial space, you will probably spend a significant amount of time negotiating what would make up your rental payment, how to split the responsibilities for common areas and the particulars regarding the space itself. Once you resolve those issues, you may want to turn your attention to issues of liability. This will help dictate what types of insurance your rental agreement may require you to maintain during the term of the lease. Of course, you want to make sure you have ample coverage for anything that could go wrong, but more than likely, you don’t want to spend more than necessary on premiums. Insuring against damage to property It may seem obvious that you would need a policy to protect you against damage to the property. The question is what type of policy your landlord may require. A “named peril” policy only covers specific issues such as fire or hail damage. An “all risk” policy covers you no matter what happens. Insuring against lost income If something happens and the building becomes uninhabitable, it will obviously affect your ability to operate and, hence, to pay rent. You may consider purchasing a policy that covers the loss of rent, along with a business interruption policy. These policies may help keep you afloat while you are unable to do business because you are unable to occupy the rental space. Insuring against third-party claims Liability insurance is crucial, especially when dealing with the public. Your lease may specify a certain amount of general liability insurance, but that may not cover everything you need it to cover. You may want to obtain coverage for employment practices and products liability as well. Essentially, your liability insurance should cover any liability that may arise due to your business and its operations. Paying for the insurance you need When it comes to paying for the insurance, you may be able to negotiate those costs based on the type of lease you enter into with the landlord. In most cases, the insurance policies must cover both the tenant and the property owner, which is why you may be able to negotiate payment of the premiums. Knowing whether you have the right insurance coverage — and enough of it — may not be as simple as it sounds. The goal is to protect yourself as much as possible. Sifting through all of the options available to you may seem like a daunting task, but you don’t have to do it alone. Relying on the legal resources available to you here in Los Angeles could make your experience less stressful and more satisfying.

When entering into a lease agreement for your commercial space, you will probably spend a significant amount of time negotiating what would make up your rental payment, how to split the responsibilities for common areas and the particulars regarding the space itself. Once you resolve those issues, you may want to turn your attention to issues of liability. This will help dictate what types of insurance your rental agreement may require you to maintain during the term of the lease. Of course, you want to make sure you have ample coverage for anything that could go wrong, but more than likely, you don’t want to spend more than necessary on premiums. Insuring against damage to property It may seem obvious that you would need a policy to protect you against damage to the property. The question is what type of policy your landlord may require. A “named peril” policy only covers specific issues such as fire or hail damage. An “all risk” policy covers you no matter what happens. Insuring against lost income If something happens and the building becomes uninhabitable, it will obviously affect your ability to operate and, hence, to pay rent. You may consider purchasing a policy that covers the loss of rent, along with a business interruption policy. These policies may help keep you afloat while you are unable to do business because you are unable to occupy the rental space. Insuring against third-party claims Liability insurance is crucial, especially when dealing with the public. Your lease may specify a certain amount of general liability insurance, but that may not cover everything you need it to cover. You may want to obtain coverage for employment practices and products liability as well. Essentially, your liability insurance should cover any liability that may arise due to your business and its operations. Paying for the insurance you need When it comes to paying for the insurance, you may be able to negotiate those costs based on the type of lease you enter into with the landlord. In most cases, the insurance policies must cover both the tenant and the property owner, which is why you may be able to negotiate payment of the premiums. Knowing whether you have the right insurance coverage — and enough of it — may not be as simple as it sounds. The goal is to protect yourself as much as possible. Sifting through all of the options available to you may seem like a daunting task, but you don’t have to do it alone. Relying on the legal resources available to you here in Los Angeles could make your experience less stressful and more satisfying.

When you bid on a construction project, you expect that everything will go according to plan. At the end of the job, you may find that you were right, but what do you do if you are wrong? The construction industry is fraught with risks and hazards, and you could find yourself facing liability for a variety of mishaps and issues. In fact, construction liability insurance is often a prerequisite for receiving a construction contract. When searching for the right coverage, it may help you to know that you can negotiate the terms of your policy. With the right help, you could end up with an affordable policy that covers your concerns and contains policy limits with which you can live. What should you expect from your policy? When searching for a good liability insurance policy, you may want to ensure that it provides you with the following benefits: You should receive an acceptable level of security, ensuring coverage for you, your employees and your assets. You should receive an acceptable level of protection against property damage and injury claims. Your policy should help cover the damages and costs incurred from a monetary judgment. Your policy should help cover the costs associated with litigation such as attorney’s fees, court expenses and more. Your policy should protect your company as a whole and protect your company in individual claims. You may have other concerns in addition to the above that you may wish to address in your policy. What should your policy cover? In order to meet your liability insurance needs and goals, your policy should cover the following: It should cover any damages to the property caused by our employees, along with the possibility that the owner may not be able to use the property due to the damage. It should cover claims for injuries (fatal or otherwise) suffered under your watch. However, it does not replace your workers’ compensation insurance requirements. It should cover any damages resulting from equipment you install or use on the site. You may also consider ensuring that your liability insurance covers any potential copyright infringement accusations you may face for equipment or products of your own design that someone else may believe are too similar to another party’s product or design. In addition to negotiating the terms of your policy, you may benefit from some guidance and assistance when it comes to either filing claims against the policy yourself or defending claims from others.

When you bid on a construction project, you expect that everything will go according to plan. At the end of the job, you may find that you were right, but what do you do if you are wrong? The construction industry is fraught with risks and hazards, and you could find yourself facing liability for a variety of mishaps and issues. In fact, construction liability insurance is often a prerequisite for receiving a construction contract. When searching for the right coverage, it may help you to know that you can negotiate the terms of your policy. With the right help, you could end up with an affordable policy that covers your concerns and contains policy limits with which you can live. What should you expect from your policy? When searching for a good liability insurance policy, you may want to ensure that it provides you with the following benefits: You should receive an acceptable level of security, ensuring coverage for you, your employees and your assets. You should receive an acceptable level of protection against property damage and injury claims. Your policy should help cover the damages and costs incurred from a monetary judgment. Your policy should help cover the costs associated with litigation such as attorney’s fees, court expenses and more. Your policy should protect your company as a whole and protect your company in individual claims. You may have other concerns in addition to the above that you may wish to address in your policy. What should your policy cover? In order to meet your liability insurance needs and goals, your policy should cover the following: It should cover any damages to the property caused by our employees, along with the possibility that the owner may not be able to use the property due to the damage. It should cover claims for injuries (fatal or otherwise) suffered under your watch. However, it does not replace your workers’ compensation insurance requirements. It should cover any damages resulting from equipment you install or use on the site. You may also consider ensuring that your liability insurance covers any potential copyright infringement accusations you may face for equipment or products of your own design that someone else may believe are too similar to another party’s product or design. In addition to negotiating the terms of your policy, you may benefit from some guidance and assistance when it comes to either filing claims against the policy yourself or defending claims from others.

Like many in California, you may be learning about the benefits of including real estate investment in your retirement portfolio. On the other hand, you may simply be excited by the many options available and hope to build a business through residential and commercial properties. Whatever your goals, the first roadblock you may encounter is obtaining the resources necessary to begin purchasing the investment properties. You may be considering the option of taking on a partner in your investments. There certainly are many advantages to forming a partnership, especially if you have a particular person in mind with whom you would like to work. However, understanding the drawbacks to a partnership is essential to making a wise decision. The advantages of a partnership Your partner may not only supply you with the funds and the worthy credit score you need to acquire investment real estate, but the right candidate may also bring critical skills to the operation, including investment experience, property management skills or a network of valuable connections. A successful partner will ideally make up for what you lack. As in a marriage, a partnership allows you to share the load. You and your partner can divide the tremendous amount of work involved in owning and managing investment property. You will also reduce the chance of missing or forgetting critical tasks since your partner will be a second set of eyes overseeing the operation. This will be most helpful if you intend to own multiple properties. The disadvantages When dividing the work and responsibility, you also divide the profits. Depending on the type of partnership you form and how you and your partner agree to divide the money, you may make less than half of what you would alone. This could be even less if you decide to take on multiple partners. You also relinquish a fair amount of control over the investment business. Every decision you make will involve your partner, and there may be times when you disagree. Another consideration when taking on an investment partner is the amount of complication you may be adding to your tax burden. Dividing the tax responsibilities can be complex and confusing enough to require legal assistance to avoid conflict with federal, state and local tax authorities. With the many factors involved in forming a partnership for your real estate investment, you may benefit from sound legal advice, especially from an attorney with experience in many aspects of real estate and investment law.

Like many in California, you may be learning about the benefits of including real estate investment in your retirement portfolio. On the other hand, you may simply be excited by the many options available and hope to build a business through residential and commercial properties. Whatever your goals, the first roadblock you may encounter is obtaining the resources necessary to begin purchasing the investment properties. You may be considering the option of taking on a partner in your investments. There certainly are many advantages to forming a partnership, especially if you have a particular person in mind with whom you would like to work. However, understanding the drawbacks to a partnership is essential to making a wise decision. The advantages of a partnership Your partner may not only supply you with the funds and the worthy credit score you need to acquire investment real estate, but the right candidate may also bring critical skills to the operation, including investment experience, property management skills or a network of valuable connections. A successful partner will ideally make up for what you lack. As in a marriage, a partnership allows you to share the load. You and your partner can divide the tremendous amount of work involved in owning and managing investment property. You will also reduce the chance of missing or forgetting critical tasks since your partner will be a second set of eyes overseeing the operation. This will be most helpful if you intend to own multiple properties. The disadvantages When dividing the work and responsibility, you also divide the profits. Depending on the type of partnership you form and how you and your partner agree to divide the money, you may make less than half of what you would alone. This could be even less if you decide to take on multiple partners. You also relinquish a fair amount of control over the investment business. Every decision you make will involve your partner, and there may be times when you disagree. Another consideration when taking on an investment partner is the amount of complication you may be adding to your tax burden. Dividing the tax responsibilities can be complex and confusing enough to require legal assistance to avoid conflict with federal, state and local tax authorities. With the many factors involved in forming a partnership for your real estate investment, you may benefit from sound legal advice, especially from an attorney with experience in many aspects of real estate and investment law.

California landlords must conduct themselves in a specific way to avoid getting into legal trouble. Today, we will take a look at some of the top legal mistakes that landlords should be aware of. This way, they can avoid making them. Many mistakes relate to treating tenants poorly or not being upfront with your information. Never forget to give out necessary disclosures. Additionally, do not ask your tenants questions that they (or others) could construe as discriminatory. You should not disregard a tenant’s right to privacy, either, no matter how justified you think it may be at the time. Likewise, you cannot keep security deposits unless you provide an itemized list of deductions for damage you fixed. Always make good on your side of a leasing agreement. You cannot refuse repairs within a certain limit. You cannot fail to provide a safe environment. This can include making sure that your building is up to fire code safety and has a safe evacuation plan. You cannot ignore the rules of eviction, and you cannot improperly dispose of abandoned property. It is also important to have adequate insurance coverage. Failure to provide this for the sake of attempting to save money can backfire on you. Committing any of these mistakes can lead to a serious legal headache for you. If you are curious to learn more about landlord tenant laws and disputes, consider visiting our web page. You can read more about the responsibilities that both parties hold. You can also read about some of the legal repercussions if they are not upheld.

California landlords must conduct themselves in a specific way to avoid getting into legal trouble. Today, we will take a look at some of the top legal mistakes that landlords should be aware of. This way, they can avoid making them. Many mistakes relate to treating tenants poorly or not being upfront with your information. Never forget to give out necessary disclosures. Additionally, do not ask your tenants questions that they (or others) could construe as discriminatory. You should not disregard a tenant’s right to privacy, either, no matter how justified you think it may be at the time. Likewise, you cannot keep security deposits unless you provide an itemized list of deductions for damage you fixed. Always make good on your side of a leasing agreement. You cannot refuse repairs within a certain limit. You cannot fail to provide a safe environment. This can include making sure that your building is up to fire code safety and has a safe evacuation plan. You cannot ignore the rules of eviction, and you cannot improperly dispose of abandoned property. It is also important to have adequate insurance coverage. Failure to provide this for the sake of attempting to save money can backfire on you. Committing any of these mistakes can lead to a serious legal headache for you. If you are curious to learn more about landlord tenant laws and disputes, consider visiting our web page. You can read more about the responsibilities that both parties hold. You can also read about some of the legal repercussions if they are not upheld.