This office lease provision states that the parties desire to allocate certain risks of personal injury, bodily injury or property damage, and risks of loss of real or personal property by reason of fire, explosion or other casualty, and to provide for the responsibility for insuring those risks permitted by law.
Illinois Provision Allocation Risks and Setting Forth Insurance Obligations of Both the Landlord and the Tenant In Illinois, the provision allocation risks and setting forth insurance obligations between landlords and tenants are vital aspects of any lease agreement. These provisions aim to protect both parties in the event of unforeseen circumstances such as property damage, liability claims, or accidents. Understanding the different types of provisions and insurance obligations in Illinois can help landlords and tenants navigate their lease agreements more effectively. Below are some key provisions and insurance obligations commonly seen in Illinois lease agreements: 1. Property Insurance Provision: This provision states that the landlord will maintain adequate property insurance coverage for the leased premises. It generally covers perils such as fire, theft, and natural disasters. The policy should include a waiver of subrogation in favor of the tenant. 2. Tenant Insurance Obligation: The tenant is typically required to obtain a renter's insurance policy to protect their personal belongings. This policy should also include liability coverage to protect against claims arising from their negligence, such as accidental injuries to guests. 3. Loss or Damage Provision: This provision addresses how damages to the property will be handled during the lease term. It typically requires tenants to promptly report any damages to the landlord and clarifies who is responsible for repairs caused by negligence or intentional acts. 4. Liability Insurance Provision: Landlords often require tenants to obtain liability insurance to cover potential claims arising from accidents or injuries that occur on the leased premises. The provision may specify the minimum coverage limits and require the tenant to provide proof of insurance. 5. Additional Insured Provision: In certain situations, landlords may request to be named as an additional insured party on the tenant's liability insurance policy. This provision provides the landlord with protection against claims arising from the tenant's negligence. 6. Indemnification Provision: This provision outlines the tenant's responsibility to indemnify and hold the landlord harmless from any claims, damages, or expenses incurred as a result of the tenant's actions or negligence. It is crucial for both landlords and tenants to carefully review and understand these provisions and insurance obligations before signing a lease agreement in Illinois. Consulting with an attorney experienced in real estate law can ensure adequate protection and compliance with state regulations. By clarifying and allocating risks and insurance obligations, both parties can enter into a lease agreement with greater confidence and peace of mind.
