I’m setting up the NACHI agreements in HIP where they are editable. I notice in the section 6. Limitations on liability and damages. on the end says if you wish to eliminate this provision we’ll do it for an increased fee? Do you use this and if so what would you charge to essentially wave your protection of getting sued for actual damages? My tendency would be to edit this option out of the contract all together. thoughts? TIA.
My attorney told me to eliminate that clause as Montana judges would not think favorable of it.
That is an attorney question or an insurance question. If your state allows the verbiage, then you can negotiate the increased fee for removal.
So, let’s say you remove the limitations, what would be your exposure in the event you get sued?
At a minimum, your insurance deductible and the raised annual rates for filing a claim.
If your deductible is $2500 and your rate goes up $300 year for four years, your exposure is $3,700.
You have now arrived at your fee