Senior living facilities are poor risks to insure. Sorry to say, but it is true. Clearly there are huge Liability and Workers Comp exposures, I was surprised by the large number of property claims. Most assisted living facilities tend to mimic the style of local homes (hence giving the residents more of an “at home feel).” That leads to large roof exposures for wind and hail, and expensive buildings. Then when a claim does happen the Insured obviously needs extremely fast repair. I personally found many assisted living business owners to be very strict in their demands for a full replaced roof when only partial roof was warranted, etc. Property claim frequency and severity was an issue with the assisted living operations I saw.
What is really troubling about this market is how many cases of fraud we see from companies and agents. They see it as fertile ground to rip off seniors of their hard earned retirement.
Senior living facilities are poor risks to insure. Sorry to say, but it is true. Clearly there are huge Liability and Workers Comp exposures, I was surprised by the large number of property claims. Most assisted living facilities tend to mimic the style of local homes (hence giving the residents more of an “at home feel).” That leads to large roof exposures for wind and hail, and expensive buildings. Then when a claim does happen the Insured obviously needs extremely fast repair. I personally found many assisted living business owners to be very strict in their demands for a full replaced roof when only partial roof was warranted, etc. Property claim frequency and severity was an issue with the assisted living operations I saw.
“One agent mentioned to me the other day they had no less than 20 quotes on a particular account,”
Wow! What a great Agent, err I mean insurance shopper.
What is really troubling about this market is how many cases of fraud we see from companies and agents. They see it as fertile ground to rip off seniors of their hard earned retirement.