Don't leave everything to chance; keep yourself protected with an insurance
Real estate investing is rewarding however like all other investments it has some risks. The key to success in this endeavor is the proper insurance which will help protect your investment property from those risks, while providing peace of mind.
Physical structure Coverage
If a storm damages an apartment building’s roof, the owner can file a claim against his or her physical structure coverage
This type of coverage protects the building’s structure, like its foundation, roof and walls. It also covers detached structures on the property, like garages and maintenance buildings.
You may need to pay medical expenses and legal costs when a tenant, customer of a tenant or guest at a residential property sustains an injury.
Typically, this type of coverage doesn’t cover everyday misfortunes of tenants, such as a tenant slipping and falling in his kitchen. But if a leaky roof causes a guest to slip and fall in a common area such as a lobby, liability coverage can pay medical costs and legal bills.
Equipment breakdown coverage
Landlords can face big repair and replacement cost bills if a power surge damages a building electrical system resulting in damage of a grass cutting machine or a heating boiler exploding.
Equipment breakdown coverage can help a landlord repair or replace damaged equipment.
Fair rental value coverage Coverage
While tenants move out of the office building due to the tornado damage, the landlord needs to pay for its repairs.
This type of coverage can help pay for lost rental income if a building becomes uninhabitable due to a covered loss. For instance, if tenants must move out of an office building to repair tornado damage, fair rental value coverage can reimburse the landlord for a portion of the lost rental income.
Ordinance of law coverage
Oftentimes, older rental properties don’t meet current building codes.
If a property sustains a covered structural loss, ordinance of law coverage can help cover the additional cost of reconstructing the building to meet current codes.
Real Estate Investor Insurance is coverage designed to protect property managers, family offices and trusts, and individual and corporate real estate investors. Sometimes called “landlord insurance,” investment property insurance can be applied to different types of owned rental properties. Real Estate Investor Insurance takes a simplified approach to insuring investor property portfolios.
Under-insuring, an investment property, over-insuring an investment property or having the wrong types of insurance on the investment property can all produce disastrous results. Here are some coverages you should consider
There’s not one general price range for all Real Estate Investor Insurance policies, since the price varies greatly depending on the type, condition, size, and location of the property, the owner, and previous claims filed against the property or owner.
Having the right insurance for your real estate can help protect you against large, unexpected losses while keeping your cash flow healthy by not paying for coverage you don’t need.
It’s important to understand your existing policies and have a trusted insurance agent as part of your real estate team to understand if your insurance coverage needs to be upgraded. If you’re under-insured when a disaster strikes, it’s usually too late to make a change.
Contact us today to know more!
It might be time to switch insurers whenever the service that your existing insurer provides doesn’t meet your needs. For example, if you have a poor claims experience or an unexplained rate increase, it might be time to consider other options
If you cancel a previous policy before a new policy is effective, you could run into some serious financial problems.
Contact us today to help you with multiple options to choose from.