FIRE-INSURANCE FOR UNDEVELOPED LANDS?
By Dean Solberg
Is 'Fire-Insurance' for the benefit of undeveloped lands necessary?
The answer is yes. It has been my experience that owners and buyers of undeveloped lands in Oklahoma are not advised at all on the issue and when the issue is raised, the advice normally given is 'no'. This is a mistake. As we all know in Oklahoma, grass does burn. Fire, and not just the wind, does come "…sweepin' down the plain…."
When grassfires devastated various areas in Oklahoma in 2005 and 2007, the fires were extinguished by the heroic efforts of our area fire-fighters (who in Tulsa deserve a lot better but that is for a future discussion). Numerous Fire Departments were involved with the effort and assisted in areas outside their City's limits or jurisdictions. Since many of the grassfires were on property not within that Fire Department's jurisdiction, the property owners of these lands were sent a bill for their services and I heard of bills being as much as $30,000.00 to $40,000.00. To make it even worse, there were efforts to add the bill as a charge to the property's ad valorem tax bill so that the cost would be a 'lien' against the property and if unpaid the lien would be satisfied from the proceeds of any future tax sale.
The impact of this scenario could have been minimized if the property owner had contacted and paid the fire-protection service fee to their nearby municipality. The annual fee by some municipalities is as low as $40.00 per year.
For property not within the city's limits of a municipality it is recommended that the nearest municipality be contacted in regards to the availability and cost of such fire protection. It is also recommended for someone who has a home on acreage that their hazard insurance carrier be contacted as well to verify that such risks are covered and the extent of such coverage. Also, any such policy should cover the risk and liability of a fire jumping your fence and setting the neighbor's property on fire.
Dean M. Solberg, Attorney & Counselor at Law 7614 South Joplin Avenue, Tulsa, Oklahoma 74136 Phone: (918) 477-7273 E-mail: deansolberg@juno.com or psb3@cox.net
Disclaimer: The material included in this communication is for information only and not intended as legal advice. The information contained is general and the law may apply differently in specific situations. I do not provide legal advice except upon the establishment of an attorney-client relationship. Readers should not act upon information contained in this material without first obtaining professional legal counseling and this material may be considered as advertising under the rules of professional responsibility governing attorneys.
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