Building is insured for $1,239,000. BPP is insured for $100,000. There is a named storm percentage deductible of 3% $15,000 minimum per location per attached named storm deductible endorsement. Building deductible would thus be $37,170. Damage to the building is approximately $25,000, so the loss does not exceed the deductible. Damage to the BPP is approximately $5,000. Based on the endorsement language that separate deductibles apply to both the building and personal property, should the deductible for the BPP be $3,000, or the residual of the building deductible?
The Insured has a business income loss as well under form CP 00 30 10 12. A 72-hour waiting period applies to it separately from the building deductible, correct?
Thank you.
Washington, D.C. Subscriber
Since the deductible endorsement clearly states that the deductible applies separately to each building and personal property, the deductible for the BPP will be $3,000, and not the residual of the building deductible. You are correct that the 72-hour waiting deductible for the business income is a separate deductible that applies to that coverage.