Lease

Lease in regards to insurance policies is related to car insurance or to a commercial policy.

Our insurance advice is that if you are leasing a vehicle you need to be aware that both you and the leasing company have ownership of the unit. Your ownership is limited to the terms of the lease you have signed. The leasing company wants to have proof of insurance. This proof tells them that their property is protected by insurance in case of loss.

The insurance help you will get from your agent or broker is rather important when you are insuring a leased vehicle. You can choose to purchase a waiver of depreciation. This is recommended. The lease holder may suggest that this is an unnecessary cost as they provide "gap" insurance.

Gap insurance is only valid if there is a total loss. The vehicle has been stolen or is written off. Waiver of depreciation applies to partial losses. So to save yourself money and grief down the road do add the waiver insurance to your policy.

The lease holder on a building will want to be named on the insurance policy as an additional insured. The improvements you make to the building need to be added under your contents coverage. A lease holder will draw up a lease document with you. It is a good idea to have your agent or broker review this to ensure that you have the insurance in case of a loss.

Once again it is a question of your taking control of your insurance. Talk to your agent or broker. Know your options. Choose wisely.