Underwriters ask Chicago owners about water in the basement and whether sewer backup is on the policy, the age and permit history of the porches, who controls the heat and how old the boiler is, and the roof, plumbing and wiring in a masonry building that may be a century old. Send me those answers with dates and I can match the building to insurers that want it.
What makes a Chicago apartment building different
- Combined sewersThe Department of Water Management describes one interconnected system carrying storm runoff and sanitary waste. In intense storms the mains fill and water pushes into basements through private drains.
- Rear porchesCity ordinance requires every element of a porch or deck to support 100 pounds per square foot of live load, and structural repairs always need a permit.
- Heat OrdinanceFrom September 15 through June 1, a rental unit must be at least 68 degrees by day and 66 at night. A dead boiler is a code problem within hours.
- Landlord and tenant ordinanceThe RLTO covers most rental property in the city, with an exception for owner-occupied buildings of six units or fewer.
- Older masonry stockTwo-flats, three-flats and courtyard buildings with original plumbing, wiring and flat roofs.
The coverage parts are the usual ones (how apartment programs are put together). The rest of this page is the Chicago layer.
Basement water: sewer backup and flood are two different coverages
The city says its sewer system was designed decades ago for different storm patterns, and that storms can now drop two inches or more of rain in an hour on a single neighborhood. When the mains are full, the water has nowhere to go but back through the building’s own drain. The city has placed flow restrictors it calls Rain Blockers in street catch basins so that streets hold water for a few hours instead of basements, and it asks owners to disconnect downspouts from the sewer. It also says plainly that work on private property is up to the owner.
For insurance, the cause of the water decides which coverage answers:
- Water that backs up through drains or sewers is commonly excluded from a commercial property policy unless you add it back by endorsement, usually with its own smaller limit. Ask what that limit is.
- Surface water that comes in through windows and doors is flood. Flood is a separate policy, from the National Flood Insurance Program or a private insurer. How commercial flood insurance works.
- What is down there. Boilers, water heaters, electrical panels, laundry machines, tenant storage and garden units all change the size of a basement loss.
- What you have done about it. A backwater valve, an overhead sewer conversion, a sump pump with battery backup and disconnected downspouts are things an underwriter can credit only if you tell them.
Porches, decks and liability
On June 28, 2003, the rear porches of a three-flat on West Wrightwood collapsed during a party, killing 13 people; the plaintiffs in the case that followed said the porch had been built without a permit. That is why underwriters ask Chicago owners about porches before almost anything else on the liability side.
The Department of Buildings’ current guidance is specific:
- Load. All elements of porches and decks must be able to support 100 pounds per square foot of live load. Inspectors look at joists, beams, columns, stairs, rails, ledger boards, connections and footings.
- Permits. A permit is always required to repair or replace structural elements such as columns, beams, foundations, stringers or floor joists, with plans prepared by an Illinois architect or structural engineer. Routine maintenance and non-structural parts such as deck boards and stair treads generally do not need one unless a violation has been issued.
- Complaints. Anyone can call 311 about a porch, and the city sends an inspector.
Keep the porch permit and inspection sign-off with your insurance file, and put a commercial umbrella over the liability limit. A crowded porch is a multi-person claim.
Winter: heat, frozen pipes and ice dams
The Chicago Heat Ordinance requires landlords to supply heat to rental units from September 15 through June 1: at least 68 degrees from 8:30 a.m. to 10:30 p.m. and at least 66 degrees overnight. The Department of Buildings enforces it, fines accrue per day and per violation, and the city has said the reason for the lack of heat does not matter. In a cold snap it has gone to court to have receivers appointed to restore heat.
- Boiler failure. A cracked section or failed control is typically a mechanical breakdown that property coverage leaves out. Equipment breakdown coverage is built for it.
- Frozen pipes. Most policies cover a burst pipe only if heat was maintained or the lines were drained, and vacant units and common stairwells are where that condition gets tested. How freeze claims work.
- Ice dams and snow load. Flat roofs, parapets and interior drains on older buildings back up when drains freeze. How ice dam claims are handled.
- Space heaters. The city warns tenants against heating with ovens and urges caution with space heaters. A building that loses heat becomes a fire risk the same night.
The RLTO, city records and inspections
- RLTO scopeThe Residential Landlord and Tenant Ordinance, approved in 1986, covers most rental properties in Chicago except units in owner-occupied buildings with six units or less, most hotel and rooming house units, dormitories, shelters and owner-occupied co-ops.
- What it governsSecurity deposits and prepaid rent, the landlord’s general duties, notice of conditions affecting habitability, remedies and retaliation. A summary must be attached to each written lease and renewal.
- RegistrationThe annual multiple-dwelling registration no longer exists. The Department of Buildings ended it as of September 6, 2017.
- Scofflaw listBuildings with long-running code cases in circuit court can be placed on the city’s Building Code Scofflaw List and are then inspected at least every 12 months. Owner-occupied residential buildings of four or fewer units are left off.
Why an insurer cares: open violations and court cases are public, and underwriters look them up. Tenant claims over deposits or habitability are also not what a general liability policy is built for, so ask what yours says about them.
Older masonry buildings
Brick walls hold up well. The parts inside them age:
- Plumbing: galvanized supply lines and cast-iron stacks, and the year of any re-pipe.
- Electrical: knob-and-tube wiring, fuse boxes, and service size per unit.
- Roof and masonry: roof age and type, parapets, tuckpointing and chimney condition.
- Heating: steam or hot-water boiler age, last service, and low-water cutoff.
- Life safety: smoke and carbon monoxide alarms, and two clear ways out of each unit.
Rebuilding an old building to current code costs more than replacing what was there. Ordinance or law coverage pays that difference, up to its own limit.
What to send me
- Address, year built, stories and unit count, and whether you live in the building.
- Basement details: what is stored or installed there, any garden units, past water events, and the valves or pumps in place.
- Porch records: year built or rebuilt, permits and the last inspection.
- Heating plant: boiler type, age and service contract, and who pays for heat.
- The current rent roll and a recent operating statement.
- Current declarations pages for property, liability, umbrella and flood, with five years of loss runs.
- Updates with years: roof, plumbing, electrical and tuckpointing, plus any open city violations.
Common questions
Does apartment building insurance in Chicago cover sewer backup in the basement?
Only if the policy includes water backup coverage, which is usually an endorsement with its own limit. Water that enters from the surface is flood and needs a separate flood policy.
Who insures older two-flats and courtyard buildings in Chicago?
Standard and surplus lines insurers both write them, and the fit depends on updates, losses and unit count. I take the building to the ones whose appetite matches its age and systems.
Do insurers ask about back porches in Chicago?
Yes. Expect questions about age, condition and permits, because city ordinance requires porches and decks to support 100 pounds per square foot and structural repairs always need a permit.
Is a broken boiler covered on my Chicago apartment building policy?
A mechanical failure usually is not covered by property insurance alone. Equipment breakdown coverage is the part that responds, and the Heat Ordinance still applies while the boiler is down.
Will my policy pay for frozen pipes in a vacant unit?
Often only if heat was maintained in the unit or the water lines were shut off and drained. Check the freeze and vacancy conditions before winter.
Does the RLTO apply to my owner-occupied two-flat?
The ordinance does not cover units in owner-occupied buildings with six units or less, according to the Department of Housing. Other city building and heat rules still apply.
General information about insuring apartment buildings in the City of Chicago as of November 2026, not legal advice. The RLTO, the Heat Ordinance, porch and permit rules and city sewer programs change; confirm your building’s obligations with the Department of Buildings, the Department of Housing and the Department of Water Management, and landlord-tenant questions with counsel. Coverage depends on underwriting and the terms, conditions and exclusions of the policy actually issued.