In the world of Property Management, the Lease Agreement and the Vendor Contract along with the Tenant and Vendor’s full insurance policy documents are the ultimate source of managing risk. For routine and low-risk work, carefully review their COI.

1. Always Provide a Sample COI

Provide a sample or template COI that shows exactly:

• How the property and management company must be listed

• What coverages and limits are required

Refer to the Lease Agreement or the Vendor Contract for the above information. Providing an example will minimize back-and-forth and reduces the risk of missing key language.

2. Confirm They Are Using the Current ACORD 25 Form

The standard form should be ACORD 25 (2016/03 edition). Older versions are outdated and may not reflect current standards.

3. Check That All Required Policies Are Active

At a minimum, confirm:

• General liability

• Umbrella (if required)

• Workers’ compensation

Each policy must:

• Be in force (not expired)

• In the case of a Tenant, it is important the coverage period aligns with delivery of the premises. In the case of a Vendor, the insurance must cover the full period during which the work will occur.

4. Review General Liability Limits and Language

General liability should typically show at least:

• $1,000,000 per occurrence

• $2,000,000 general aggregate

Also verify:

• Additional insured is indicated

• Waiver of subrogation is indicated

5. Description of Operations

Think of this section as simply a notes section. You may see this section blank or you may see some written text. Ignore it! Anything written in this box does not apply to coverage. It might give some information about there being additional insured parties, a waiver of subrogation, or refer to the policy being primary and noncontributory, however, if you do not have the actual separate, attached endorsement, it very likely may not exist.

If you see any references in the description of operations, such as “Additional insured as required by written contract”, this signals that they have blanket coverage and unless you have a fully executed written agreement specifying the detailed insurance requirements the contract states, coverage is incomplete or not available in the event of a loss.

6. Confirm the Certificate Holder Is Correct

The certificate holder must be listed exactly as required by:

• The Contract/Lease

• The management company (if applicable)

• Any ownership entity (if applicable)

Small typos and wrong names can cause problems should an insurance claim occur.

7. Verify Workers’ Compensation and Waiver of Subrogation

For workers’ comp, confirm:

• Statutory limits are shown

• A waiver of subrogation is included (as required by contract)

If a vendor is injured on site, the vendor’s policy, not the property’s should respond.

8. Review Umbrella / Excess Liability Coverage

Best practice is:

• $3,000,000 – $5,000,000 umbrella / excess liability

• Additional insured and waiver of subrogation applying here as well

For lower-risk work, the owner/manager may decide to accept lower limits, but they should do so knowingly and document the rationale.

9. Require Auto Liability When Vehicles Are On Site

If the vendor or their employees will:

• Drive on driveways, in garages, or on any part of the property

it is a best practice to require auto liability coverage. This protects you if an accident occurs on site involving their vehicle.

10. Whenever Possible, Obtain the COI Directly from the Insurance Broker

• Ask the vendor’s insurance broker/agent to email the COI directly to manager Brokers are far less likely to modify a certificate improperly than a vendor is.

11. For Higher-Risk Work, Go Beyond the COI

For higher-risk scopes…such as façade work, structural repairs, or substantial TI’s:

• Do not rely on the COI alone. Review the full policy and all endorsements. Ensure that the insurance requirements and risk-transfer language are built directly into the written contract.

Even though a COI is only a summary of coverage, careful review up front can prevent major issues later.

12. Pro Tip:

• Require a COI from a Tenant that matches the insurance requirements in their Lease Agreement at the start, prior to issuing keys to the premises. All Tenants want to receive their keys promptly. This allows us to make requests while we have their full attention!

• Gather the vendor’s insurance prior to contract execution. Vendors can turn these COI’s around in less than 24 hours, especially when we require the COI prior to signing the contract.

At NorthBridge, we apply these insurance review standards as a core part of our risk-management program. Our team carefully verifies Tenant and Vendor insurance, works directly with brokers, and ensures that strong protective language is part of every agreement. This disciplined yet practical approach helps safeguard each property we oversee, minimizes avoidable exposure, and keeps daily operations running smoothly for our clients.

Commercial property management is full of moving parts: leases that run hundreds of pages, tenant calls that must be documented, never-ending work orders, and financial reports that eat up entire afternoons. Most leaders in our industry know the feeling: we’re buried in the details, and it can slow down the decisions that really move the business forward.

That’s where AI is beginning to make a real difference. Tools like large language models and transcription platforms such as Plaud aren’t about replacing property managers or accountants. They’re about clearing the clutter so teams can focus on higher-value work.

Imagine having a new lease summarized in minutes instead of hours or days. The key dates, rent escalations, and unusual clauses are all highlighted, so leaders can move quickly without fearing they missed something in the fine print.  Think about tenant and vendor calls. Instead of relying on memory (or hoping someone took notes), transcription tools capture the conversation automatically, tag action items, and even draft follow-up emails. Suddenly, communication is sharper, accountability improves, and nothing falls through the cracks.  Maintenance is another area where AI shines. Work orders don’t just sit in a system waiting for someone to respond – they can be categorized, analyzed, and even used to predict when equipment is likely to fail. That shift from reactive to proactive saves money and keeps tenants happier. And then there’s reporting. Anyone who has worked on monthly reporting packages knows how much time it drains. With AI, first drafts are generated instantly, anomalies are flagged, and trends are surfaced. Leaders still review and approve, but the insight comes faster and often better.

Of course, AI isn’t perfect. Data privacy and accuracy matter, and no tool should replace human judgment. But when used wisely with clear guardrails and people in the loop, AI becomes a force multiplier.

Those of us who embrace this shift now will stand out. Owners, tenants, and investors will gravitate toward platforms that are smarter, faster, and more reliable. For CRE leaders, the real question is no longer if AI belongs in property management. It’s how quickly you’re willing to bring it into your operation.

Commercial property owners across DFW, and nationwide, have been navigating rising insurance costs for several years now. Since 2020, premiums have increased steadily due to weather-related losses, rising construction costs, and a shrinking pool of carriers. As we move through 2025, it’s clear: this is not a short-term correction. It’s a structural shift in how the insurance market operates.

For owners and asset managers, insurance can no longer be treated as a routine renewal or passive line item. In today’s market, a proactive and strategic approach to insurance is essential to maintaining performance, protecting NOI, and supporting long-term asset planning.

Understanding the Pressure in Today’s Market

DFW is one of the most heavily impacted markets due to a unique combination of factors:

• Severe weather volatility – Hailstorms and high winds have made North Texas one of the most loss-intensive regions in the country.
• Construction cost inflation – Higher replacement costs are increasing premiums across all property types.
• Carrier contraction – Many insurers have exited or capped policies in high-risk areas, resulting in an unprecedented number of non-renewals.
• Reinsurance pullback – Global reinsurers are tightening capacity, driving up premiums even in lower-risk regions.

While these issues are national in scope, DFW’s exposure profile has placed it on the front lines of the hard market.

Why a Passive Approach No Longer Works

Many owners have historically relied on the same broker and simply renewed coverage year after year with minimal review. In the current environment, that strategy presents significant risk.

• Premiums are rising by 20–40% annually in many markets.
• Carriers are non-renewing policies, often with little notice.
• Underwriting timelines are longer, with stricter requirements and more documentation needed.

Even in NNN leases where tenants reimburse insurance expenses, ineffective planning can impact NOI and disrupt tenant relations.

Key Strategies for Today’s Insurance Environment

To manage risk and control costs, we recommend a more deliberate and structured approach:

1. Start Early and Shop Broadly

Initiate renewals 60-90 days in advance and work with brokers who have access to both admitted and non-admitted carriers, particularly those who understand market variations across regions.

2. Request Loss Runs Immediately

If you’re planning to explore new quotes or change carriers, request your loss runs as early as possible. These are required by underwriters and often cause delays if not secured promptly.

3. Reevaluate Deductibles

Adjusting wind/hail deductibles, such as increasing from 1% to 2% or 5%, can generate significant savings. However, this should be carefully modeled against your risk tolerance and capital reserves.

4. Review Exclusions and Sub-Limits Closely

Policy exclusions have become more common. Be aware of:

• Cosmetic roof damage exclusions
• Ordinance & law limitations
• Named-storm deductibles
• Water intrusion caps

Ensure that your policy terms still meet lender requirements and adequately protect your asset.

5. Invest in Risk Mitigation

Underwriters continue to favor well-maintained, lower-risk assets. Consider upgrades such as:

• Fire suppression systems
• Monitored alarms and security systems
• Certified roof inspections
• Documented preventative maintenance programs

These enhancements can improve your insurability and reduce long-term claims exposure.

Communication and Budgeting Are Just as Critical

Even when insurance costs are passed through to tenants, transparent communication is key. Providing context, data, and proactive messaging helps maintain tenant trust and minimizes pushback.

From a financial standpoint, budgeting needs to reflect today’s realities. Flat year-over-year estimates are a thing of the past! Owners should model 20–30% increases, particularly for assets in high-risk regions or those with legacy coverage terms expiring.

Looking Ahead

The volatility we’ve seen in commercial property insurance is not temporary. It reflects broader shifts in underwriting risk, climate exposure, and global reinsurance dynamics.

To succeed in this environment, insurance must be treated as a strategic pillar of your asset management plan.

• Shop thoroughly
• Structure thoughtfully
• Communicate proactively

Exploring Captive Insurance Options

At NorthBridge, we are currently evaluating a Single-Cell Captive Insurance Strategy. Over the past five years, captive insurance programs have helped owners retain more than $9.4 billion that would have otherwise gone to traditional carriers.

If your portfolio pays over $500,000 annually in insurance premiums and has a strong loss history (few claims), forming a captive may provide long-term cost stability, greater control, and profits on invested premiums.

I will provide Captive program updates as we navigate the complexities of this process! Feel free to reach out to me directly with any questions.