Assessing Your Commercial Borrower's Insurance Coverage

The Commercial Loan Documentation checklist typically lists "Evidence of Insurance". Don't check that off your list without making sure you have reviewed the Certificate of Insurance and assessed your borrower's coverage. This fast-paced program will discuss the many different types of insurance coverage for commercial businesses including those which can be included in the general terms "comprehensive" and "general liability" as well as specialized types of coverage based on the business sector in which your borrower operates. Collateral protection insurance, including valuation of a loss claim, co-insurance requirements and contractual provisions addressing the lender's right to proceeds will be covered. Issues such as deductibles and self-insurance will be discussed. The methods for obtaining and perfecting liens on insurance policies and insurance proceeds, including key person life insurance, will also be reviewed.

What You Will Learn

  • Reasons for Requiring Insurance
  • Governmental Insurance Requirements
  • Commercial Property Insurance: Claims and Common Exclusions
  • Deductibles
  • The Lender's Security Interest in Policies and Proceeds
  • Claim of Lender as Lender's Loss Payee or Co-Loss Payee
  • Co-Insurance Issues and Reductions
  • Green Insurance
  • Flood Insurance
  • Lease Insurance: Residual Value and Enhancement
  • Self-Insurance
  • Commercial General Liability (CGL): Coverage A, B and C
  • Business Interruption Insurance
  • Professional Liability Insurance
  • Errors and Omissions Policies
  • Coverage for Officers & Directors
  • Employment Practices Liability Insurance (EPLI)
  • Data Breach & Cyber Liability Insurance
  • Coverage for Business Autos
  • Examples of Optimum Coverage for Various Types of Commercial Businesses
  • Certificates of Insurance and Borrower Reporting Requirements
  • Key Person Life Insurance

Who Should Attend?

This program will benefit commercial loan officers, as well as compliance and loan documentation team members.