In Hawaii, with the recent rain, the commercial property policy has flood built into it for $5mil. Building sustained mud damage & potentially a roof issue. Would both flood $250k and AOP $25k apply? I'll have to still look if there's multiple deductible mention, etc. but if it's one storm can you argue for only one deductible to apply? It's a capital assets property policy, so it gives more than a normal commercial package policy.
Attached is a copy of the policy.
There was heavy wind and rain. From the heavy rains boulders came crashing down causing runoff & mudflow from the mountain. Debris including rocks, boulders and mud are now on their property. At the building there is mud and possible roof leaking, broken water line.
The road going up to their property is now mud and debris, the asphalt is gone. This is the road owned by the state
Specific limits for the affected location:
Building - $3,538,500
BPP - $130,000
BI with EE - $50,000
Reviewing it in more detail after the webinar, it appears this will be covered under Flood coverage. But uncertain on the final applicable limit and if additional limits for Ordinance B&C will be available."
Hawaii Subscriber
After reviewing the policy and the description of loss, we are of the opinion that flood is the sole cause of loss in that the meaning of flood includes mudslides and mudflows. As such, only the flood limit of insurance and deductible will apply to the loss in its entirety. As for the additional coverage and coverage extensions that are included within the property policy, refer to Section D. Additional Coverages and Coverage Extensions of the Flood endorsement wherein paragraphs 1., 2., and 3. of that section replaces debris removal coverage, and also limits those other applicable coverages and extensions to the limit that applies to Flood.