Multifamily Investor · Toledo, OH · Member since 2008 · 296 posts · 308 votes
Has anyone had any recent luck getting insurance for an apartment building with 60 amp electric service? I've been able to get them done in the past but am hitting a brick wall on a deal I'm doing now. I guess I should say I have one carrier than can get it done but at triple the premium I was expecting.
Real Estate Broker · Minneapolis, MN · Member since 2015 · 109 posts · 125 votes
8y
I can't believe this turned into a thread where you feel compelled to justify keeping part of the building intact that is dangerous to the point of making the structure uninsurable.
Don't be a scumbag and upgrade the panels to an appropriate size for the building, or they'll be using this thread as exhibit A in court.
Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
13y
I bet you can get insurance, for a price! I wouldn't own such a place without considering a rewire. Look at the difference in premiums over the next five years and the cost of a rewire, probably close, do it now at a cheaper price, insurance will only go up too. :)
Mechanicsburg, PA · Member since 2013 · 3k+ posts · 2k+ votes
13y
I would not own any building bigger than a shack or shed with 60 amp service. My primary insurance carrier won't insure them either, but there might be carriers that will at a higher premium.
Additionally one of the electric companies here won't connect you if you have less than 100 amps.
I've been putting in 200 amp service.
Reasons:
1.The costs is only slightly more than 100 amp.
2. Is safer than 60 amps especially fuses.
3. I don't want fires.
4. Tenants have increasing demands for electric with appliances and electronic equipment.
Multifamily Investor · Toledo, OH · Member since 2008 · 296 posts · 308 votes
13y
Thanks for the replies so far. I'm aware of the drawbacks and risks. I own three buildings (a 19 unit, a 15 unit and a 5 unit) currently with 60 amp service and have had zero problems. I got each of those buildings insured at decent premiums, but I'm also aware that at some point I will get cancelled and have to upgrade. My question isn't whether you think it's a good idea or not, my question is does anyone have any leads on carriers that are still writing 60 amp at decent rates?
Rental Property Investor · Lake Hallie, WI · Member since 2015 · 292 posts · 144 votes
8y
Hey there. I bought a 16 unit last year and had fairly decent coverage with state farm here. It was a little more than I was hoping to pay but full rep cost. Now Ive got 2 months left on the policy and they just sent a letter stating they wont renew because of the 60 amp service in each unit. How did your situation pan out? Any one have an agent here in Minnesota they can recommend? HELP!
Real Estate Broker · Minneapolis, MN · Member since 2015 · 109 posts · 125 votes
8y
I can't believe this turned into a thread where you feel compelled to justify keeping part of the building intact that is dangerous to the point of making the structure uninsurable.
Don't be a scumbag and upgrade the panels to an appropriate size for the building, or they'll be using this thread as exhibit A in court.
Multifamily Investor · Toledo, OH · Member since 2008 · 296 posts · 308 votes
8y
@Daniel Kurkowski, I've had several licensed electricians tell me that 60 amp service is plenty for some buildings. If for instance @Joseph Hammel's building is all one bedroom apartments and his tenants are not heavy electronics users (old people for instance) 60 amp service may be plenty. I've owned several older building that had smaller units and 60 amps was plenty. I think calling someone a scumbag when the only thing you know about him is that he owns an apartment building with 60 amp service and just got his insurance cancelled is a big leap. Maybe best to save your rants for Facebook.
Rental Property Investor · Lake Hallie, WI · Member since 2015 · 292 posts · 144 votes
8y
Thanks @Ryan Pyle. I actually posted a new thread on this that goes deeper but to summarize it was a well done conversion that was done with breaker panels it's not some old knob and tube job. Regardless can you share how it paned out with your situation? Or company's you can refer me to.