Trustee Resource Group offers nationwide property/casualty and real property liability bankruptcy insurance for nearly any Chapter 7 and 11 bankruptcy asset. Among those most frequently covered are residential, commercial and vacant land real estate; inventory and equipment; and vehicles.
The minimum term is three months with monthly coverage thereafter. To lower the total cost of coverage to the estate, policies will be cancelled upon the Trustee’s request after the minimum policy period has been fulfilled.
We offer flexible terms and can usually quote and bind insurance coverage the same day. Premium financing is available to Trustees if there are no funds in the estate. With TRG, there are no upfront costs.
You’ll also have the confidence of knowing that Trustee Resource Group has partnered with Great American Insurance Group of Ohio as our underwriter. Great American is an A-rated (AM Best) national carrier.
Why Insure Assets?
The Trustee Handbook states: In those cases where the property appears to have value for the estate, the trustee must obtain control over the property, which may include changing the locks at the premises, hiring guards, etc. The trustee also must immediately take all other steps which may be reasonably necessary to preserve the assets. It is not always sufficient to wait until after the meeting of creditors to take action to preserve assets. 11 U.S.C. 704.
With regard to insuring real and personal property (e.g., buildings and vehicles) that has value for the estate, the trustee must either determine that the property is insured by the debtor or obtain insurance for the estate. 11 U.S.C. 704. If insured by the debtor, the trustee shall request proof of insurance from the debtor and ensure that it is continued for the benefit of the estate. If the debtor does not have insurance, the property is encumbered, and there are no estate funds available, the trustee must contact the secured creditor immediately, so that the secured creditor can obtain insurance or otherwise protect its own interest in the property. The trustee may consider (a) an agreement with the secured creditor to fund the expense of insurance and provide proper safeguarding under 506(c); or (b) a court order allowing the trustee to insure or safeguard the property at the expense of the secured creditor pursuant to section 506(c).