Master Policies and Take-off Policies
A Master Owner's Policy may be issued to insure land intended to be divided into two or more condominium units or parcels of real estate for subdivision, construction or resale owned by the same individual or legal entity. The rate to be charged is computed the same as owner's policies. The amount of insurance on a Master Owner's Policy may be increased by endorsement if the title remains insurable. The rate for the additional coverage will be computed the same as owner's policies.
A "take-off" policy is an owner's policy issued on the sale of a unit or lot already insured under a Master Policy. The rate for a take-off policy is a minimum of $125.00 and a maximum of $250.00.
The Master Owner's Policy must be issued prior to any take-off policies or commitments on any portion of the real estate and such policy must contain the following wording:
"It is stipulated that owner's, loan, leasehold owner's and leasehold loan take-off policies or commitments therefore may be issued from this policy and that the amount of all policies or commitments so issued shall be deducted from the amount of this policy. Liability under this policy will be reduced by the cumulative amount of such take-off policies."
Additional charges may be made by the Company or Policy Issuing Agent when unusual conditions are encountered, special risks insured against or special services required. Special services may include cancellation fees that otherwise would have been included as a component of premium upon closing.