Clear-space Clause | Propertylogy

Clear-space Clause

By on April 28, 2019

A clear-space clause is a clause contained in property insurance policies which state that an insured real estate should be of a minimum particular distance away from certain noninsured property that are hazardous.

This can be applicable for both real property and personal property.

For example, an insured property needs to be at least a hundred yards away from storage facilities that store explosive chemical compounds like dynamite and lithium ion batteries.

This clause can be inserted into a policy even when the two premises belong to the same owner.

In such cases, the policyholder must ensure that the hazardous materials are separated by a proper distance as specified in the terms of the policy.

Failing which any claims from damage or destruction of property might be declined.


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