Save on NYC Brownstone Insurance with the New York Brick & Brownstone Program
New York City’s brownstones are pieces of history that are an integral part of what makes New York City unique and historic. Because of their historic nature, brownstones have special needs and challenges that owners need to know about when shopping for insurance.
Luckily, there’s an insurance program with coverage designed specifically for New York brownstones that provides the coverage brownstone owners need. That program rewards owners and landlords who understand and manage and maintain their building well.
For owners of residential buildings in Manhattan, Brooklyn or Queens with 20 or fewer units, the New York Brick & Brownstone Program can improve coverage, provide peace of mind, and save money.
Here’s what makes brownstones a challenge to insure and why the program was created.
Why NYC Brownstones Require Specialized Coverage
Older buildings, such as brownstones, often have aging systems and construction methods that make repairs and maintenance challenging.
Often, the greatest challenge when insuring older buildings is accurately estimating the cost of reconstruction if the building is damaged by fire, vandalism or another insured event. Finding period-correct or matching materials may be difficult or impossible. In many cases, there may be a lack of skilled craftspeople available to do the work.
In addition, older properties often don’t meet modern construction codes. If a historic building or brownstone is damaged, the repair work might also include replacing an outdated system with one that meets current codes. Such updates are not covered under standard homeowner or brownstone insurance and can be expensive.
NYC brownstones present another challenge, especially when they’re subject to historic preservation requirements. Matching materials such as limestone/brownstone façade materials, original woodwork/trim, and tin ceilings can be difficult to source. Finding craftspeople and contractors who can repair or replace vintage or historic façades, walls, doors, windows, or trim may be challenging as well.
The building owner may need a contractor who understands the process of gaining approval from local, borough, or city historic boards or committees, again adding to the cost.
Not every insurance company understands New York City’s historic brownstones and the challenges building owners can face when maintaining, repairing, or rebuilding. The Brick & Brownstone Program was designed as a response to those risks and challenges. Coverage is available for owner-occupied and tenant-occupied buildings, including condos, co-ops, brownstones, row housing and apartment buildings. The program also includes mixed-use properties that are at least 50% residential.
Key Insurance Benefits for NYC Brownstone Owners
Why should you check out this program? It’s a premium insurance package at a competitive cost, backed by an A-rated carrier that’s been insuring New York properties and paying claims for more than 40 years.
The following coverages are standard:
- Special form protection
- Replacement cost
- Terrorism included
- Agreed amount endorsement available
- Equipment breakdown/building machinery, heating/cooling systems, miscellaneous electrical apparatus included
Because estimating replacement costs can be tricky for older buildings, it’s important for owners to work with an insurer that understands the replacement costs for historic structures and materials.
Insurance Add-Ons That Matter for Brownstone Owners
In addition, New York City building owners can customize their policy with the following property endorsements and coverages, among others:
- Personal property
- Deductible options, ranging from $1,000 to $10,000
- Flood, in qualifying locations
- Water back-up (not flood-related)
- Upgrade to green
- Ordinance or law
- Earthquake
- Business income, including rental value, with extra expenses
- Employee theft
Liability Coverage for Brownstone Owners and Landlords
The New York Brick & Brownstone Program also offers the following optional liability coverages:
- Personal liability
- Directors & Officers liability
- Employee benefits liability
- Water damage legal liability
- Hired & non-owned automobile liability
Risk Management Matters for Brownstone Insurance
One of the key components of the program is how owners and landlords can qualify, and possibly lower their premiums, by engaging in risk management. Properties are more insurable, and may cost less to insure, when owners/landlords:
- Are proactive and up-to-date with maintenance and repairs
- Manage the property to reduce liability and other risks
- Ensure that all ownership, legal, and historic paperwork is accurate, current and compliant
For historic brownstones, proactive maintenance can save owners time and money in several ways.
First, waiting until something needs repair, or reactive maintenance, often costs more due to urgency. Requesting rush service, calling after hours, or having to quickly source materials all drive up the price.
Second, proactive maintenance often reduces operating expense. Consider the example of older HVAC systems; they may still work but cost significantly more to run than newer, high-efficiency units.
Finally, proactive maintenance boosts a building’s ROI and reduces tenant complaints.
These are best practices for all building owners. They’re critical for owners of brownstones and other historic NYC buildings.
Work with a Brownstone Insurance Expert
The right coverage can preserve historic brownstones and your peace of mind. But these iconic buildings require specialized knowledge and policies to ensure proper protection. Owners and landlords need a broker who understands your property—and the insurance carriers that cater to these iconic homes.
City Building Owners Insurance knows the market, the challenges, and the unique needs of New York City brownstones. We’re constantly monitoring and evaluating the new carriers and products entering the New York City market to help owners understand the available options and make the right decisions to protect their properties.
To learn more about how the New York Brick & Brownstone Program can lower your insurance rates, call our office at 877-576-5200 or request a free, no-obligation insurance review.
