Property Coverage Fundamentals

The “Property Coverage Fundamentals” course teaches insurance professionals a five- step process for coverage analysis. The module is presented by Tim Havlir, Property Coverage Counsel at PLRB.

The course begins by explaining the five-step process for coverage analysis. First, was there a loss to covered property? Second, was it a direct physical loss? Third, was it a covered cause of loss? (This step discusses both coverages and exclusions.) Fourth, were any policy conditions breached? Fifth, do any additional coverages apply? The course then proceeds through a number of case studies examining each one of these steps in turn and in detail. Sometimes these case studies lead to broad discussions of coverage analysis; other times, specific exploration of sample policy language; and other times, a review of relevant case law. Each case study or hypothetical is designed to get at interesting and important issues surrounding each of the five steps of coverage analysis.

After completing the course, the attendee will be able to work a coverage issue through step by step; handle situations in which covered and uncovered property are both involved; interpret ambiguous policy language using the principle of nascitur a sociis; determine when the “physical” of “direct physical damage” does and does not apply; apply the appropriate exclusions for a pandemic scenario; predict which side of a coverage lawsuit will have burden of proof based on the type of peril in the policy; handle insurable interest scenarios using a set of key factors; apply context and government bulletins to claims situations; apply deductibles appropriately in additional coverage scenarios; and distinguish backup from overflow. The course is designed for insurance professionals working in the area of property adjusting.