Risk Management & Tort Defense

Protecting Montana's Vital Assets & Resources

Property Insurance Summary

A summary of property insurance coverage, exclusions, and policy information is provided below. Coverage may vary by agency and property. This summary does not alter or amend coverage provided in statute or under the state property/casualty insurance program. Specific exclusions, limitations, or conditions may apply. For a comprehensive review of coverage and program requirements, please click here for PDF (234kb) or here for Word (47kb). For additional information, please contact the Risk Management & Tort Defense Division at (406)444-2421.

  1. Insurer(s): Various Lloyd’s of London and domestic insurance carriers.
  2. Broker: Alliant Insurance Services.
  3. Term: 7/1 to 6/30 each fiscal year.
  4. Coverage Territory: The United States, (including its territories and possessions), and Puerto Rico. For coverage outside these territories please contact the Risk Management and Tort Defense Division.
  5. Cause of Loss Covered: All risk of direct physical loss, subject to exclusions. Coverage applicable includes, but is not limited to; fire, explosion, windstorm, hail, riot, vandalism and malicious mischief, earthquake, and flood.
  6. Property Covered: All real and personal property owned or leased by the state or for which the state is legally obligated to insure. Coverage includes vehicles garaged at state locations, business income, electronic data processing media/equipment, landscaping, golf courses, athletic fields, tunnels, bridges, catwalks, dams, jewelry, furs, precious metals, stones, watercraft, and rolling stock.
  7. Perils Excluded: The policy does not insure against any of the following:
    1. Loss or damage caused by or resulting from moth, vermin, termites or other insects, inherent vice, latent defect, faulty workmanship, error in design or materials, wear and tear or gradual deterioration, contamination, pollution, corrosion, rust, wet or dry rot, or mold, mildew, fungus, spores or other microorganism.
    2. Delay or loss of markets.
    3. Infidelity or any dishonesty on part of the insured, including inventory shortage or unexplained disappearance.
    4. Loss from nuclear perils.
    5. Loss from war, rebellion, insurrection or by order of any government or public authority.
    6. Loss or damage to personal property resulting from shrinkage, evaporation, loss of weight, leakage, breakage of fragile articles, marring, scratching, exposure to light or change in color, texture or flavor.
    7. Loss or damage caused by rain, sleet or snow to personal property left in the open.
    8. Loss or damage to steam boilers, pipes, turbines, or engines directly caused by bursting, rupture, cracking, or explosion originating therein.
    9. Physical loss or damage by normal settling, shrinkage or expansion in building or foundation.
  8. Property Excluded: The policy excludes the following types of property:
    1. Aircraft and watercraft over 27 feet in length.
    2. Railroad rolling stock, except that of Montana Heritage Commission.
    3. Land, bodies of water, standing timber, and growing crops.
  9. Valuation of Property: The actual expenditure for repair or replacement of damaged or destroyed property for real and personal property and with regard to loss of income, the loss incurred for the time to rebuild, replace or repair the property. For vehicles damaged, the actual cash value, except for fire engines.
  10. Limits of Liability
Limit Description
$1,000,000,000 Blanket Limit of Liability (All Risk)
$  700,000,000 Terrorism
$  400,000,000 Earthquake
$  200,000,000 Business Income
$  100,000,000 Flood ($20,000,000 Zones A and V)
$    50,000,000 Course of Construction
$    50,000,000 Errors & Omissions
$    50,000,000 Expediting Expenses
$    50,000,000 Extra Expense
$    50,000,000 Increased Cost of Construction
$    25,000,000 Off-Premises Service Interruption
$    25,000,000 Transit
$    25,000,000 Unnamed Locations (Excludes Flood & Earthquake)
$      5,000,000 Scheduled Landscaping, Tees, Sand Traps, Athletics Fields, etc.
$      3,000,000 Contingent Business Interruption
$      2,500,000 Money, Securities, etc. Named Perils Only
$      2,500,000 Unscheduled Fine Arts
$      2,500,000 Unscheduled Research Animals
$      2,500,000 Unscheduled Watercraft up to 27 feet
$      1,000,000 Claims Preparation Expenses
$      1,000,000 Personal Property Outside the U.S.
$      1,000,000 Unscheduled Landscaping
$         750,000 Unscheduled Tunnels, Bridges, Railroads, Dams, etc.
$         500,000 Jewelry, Furs, Precious Metals, and Stones
  1. Deductibles:
    1. $2,000,000 per occurrence all risk.
    2. $1,000 per agency unless a higher deductible is selected, per occurrence for all perils, including specially trained animals.
    3. 24 hour waiting period for Service interruption.