From attracting tenants to managing staff members, running a multi-family property can be a challenge. Implementing an effective loss prevention program can help owners manage risks and decrease the odds of a costly claim or lawsuit.
A loss prevention plan contains the procedures and policies that are in place to reduce potential incidents or claims. A properly implemented program can help reduce insurance premiums while assuring the safety of residents. This can include plans regarding:
- Injuries and accidents
The loss prevention plan should contain information regarding the condition of the property. The laws and regulations governing code compliance vary based on the region. Codes are also subject to change, and properties may require extensive work to remain in compliance.
Tenants may have concerns regarding their safety and the soundness of the property. A system should be in place for residents to report accidents or express concerns.
Once an incident has been reported, an investigation should occur. Any criminal activity should be reported to the police, while other types of incidents can be handled by the owner or management team. The process for recording and resolving incidents should be noted in the loss prevention plan.
Contractors and other third-party workers should provide copies of their insurance policies before commencing with work. These certificates of insurance should be maintained and renewed as needed.
An effective loss prevention program can not only lower insurance premiums but offer the residents peace of mind.