Family Office Benchmarking Series: Property

Insuring Multiple Properties

Many families have multiple properties and locations where they have tangible assets, such as valuable collections, art, jewelry, exotic or antique automobiles, yachts and watercraft, and more. Property insurance can protect these assets from losses such as theft, damage, vandalism, and natural disasters, including but not limited to fire, flood, and windstorms.

Whether a family has few households or many, it’s common for them to own multiple homes in various states or countries. Complying with local regulations and insuring each property individually can be quite complex and lead to coverage gaps, not to mention greater expense. One way to ease the administration of an insurance program and allow more flexible protection of different property locations is through a blanket property policy.

A blanket property policy can be structured to protect international as well as domestic properties, but underwriters generally seek a geographic spread of risk. For example, a family with properties concentrated in one region or state might not present enough geographic diversity to meet underwriting requirements or obtain favorable coverage terms and conditions. Families who are facing challenges in insuring properties in high-risk or catastrophe-prone areas may also benefit from a blanket property policy if they have other homes to balance out the risk.