What it does
CG 22 70 adds to the damage to property exclusion: no coverage for "property damage" to property the named insured operates or manages, or for which it acts as rent-collecting agent or in any other supervisory capacity. It also makes the insurance excess over any other valid and collectible insurance for the named insured's liability arising out of management of property for which it acts as real estate manager.
Who needs it
Property managers of apartments, HOAs, commercial buildings and single-family rentals. Owners' CGL policies normally include the real estate manager as an insured, so the manager's own policy sits excess.
Key provisions and limits
- Damage to the managed property itself must be handled by the owner's property insurance or the manager's E&O.
Quoting and selling notes
- Confirm each owner's CGL names the manager as an insured (real estate manager wording in Section II) and request certificates.
- Pair with property managers E&O. CG 22 60 limits coverage for real estate agents' listed premises.
