We have had two billboards leased to major company for many years…we owned the land and had insurance on it. Now we are selling the land but reserving easements to the signs. I have confirmed that the billboard company has insurance on the sign and am thinking there is no longer any need for us to have insurance on just the easements. Can Anyone familiar with this situation confirm that this would in most cases be correct. If their is any liability that we might have we can retain the insurance but it seems like a major company or the new landowner should be the ones with the insurance to cover any eventuality. Thanks.
I am not an expert. However, I’d think you would want the billboard company to whom you are leasing the land add you to their liability policy as an “additional insured” and provide you with a valid certificate of that coverage on an annual basis.
Here’s the deal. If something bad happens, any decent lawyer is going to sue everyone involved, including you as the easement holder – whether or not you did anything wrong. If you have insurance, you don’t have to worry about this risk. If you don’t, then something could happen – it’s a risk you’d have to live with. So it basically boils down to how much a risk taker you are. Myself, I buy all the insurances every time I rent a car, because I’m always worrying about the worst case scenario. If you aren’t much of a pessimistic person, then maybe you’d be O.K. without insurance. But you have to understand the embrace the risk.
Thank you both for the replies…the part about someone suing everyone is very true so maybe for a small sum per year it is worth keeping the insurance on the easements. With our luck on this land frankly anything could happen. It is great to have essentially a “third party” to run details like this by as I don’t know anyone else that has billboards or easements.
Well I need to specifically thank George as I followed up on that suggestion and indeed no problem to be added on an annual basis to the billboard company’s insurance. Got the certificate…no charge and looks like we are covered. We probably should have done this a long time ago. Just have to remember to do it every year. Thanks again.
If your plans change or you consider selling your easements, we are a billboard easement buyer. Get a free quote at http://www.outdoorequities.com or call 1-877-350-3507