Hello, wife and I have been shopping for insurance policies for new rental condo. Property manager wants to be put on a 1 million dollar liability policy.
Is it possible/good idea to get lower liability insurance policy on each property and then get an umbrella policy that covers 1 million liability of every property we own, and add property managers to that same policy if they require?
Hello, wife and I have been shopping for insurance policies for new rental condo. Property manager wants to be put on a 1 million dollar liability policy.
Is it possible/good idea to get lower liability insurance policy on each property and then get an umbrella policy that covers 1 million liability of every property we own, and add property managers to that same policy if they require?
thanks
I have a personal liability umbrella policy that covers my 4 rental properties as well as my primary residence. The cost of the umbrella policy is very inexpensive, $163 a year.
Your property manager should have their own insurance policy. None of mine require to be covered under my policy.
Hello, wife and I have been shopping for insurance policies for new rental condo. Property manager wants to be put on a 1 million dollar liability policy.
Is it possible/good idea to get lower liability insurance policy on each property and then get an umbrella policy that covers 1 million liability of every property we own, and add property managers to that same policy if they require?
thanks
I have a personal liability umbrella policy that covers my 4 rental properties as well as my primary residence. The cost of the umbrella policy is very inexpensive, $163 a year.
Your property manager should have their own insurance policy. None of mine require to be covered under my policy.
Investor · Vancouver, WA · Member since 2013 · 3k+ posts · 4k+ votes
7y
@Anthony GaydenSeek out the services of a top-notch insurance broker, they can advise you of the types of coverage that would best meet your need.
At a minimum, you will need a landlord insurance policy that covers all of the buildings and liability associated with your business. Your vehicles must also be insured and include liability, before an insurance company will set up an umbrella policy for you.
It's a good idea to require all tenants to establish and maintain a renter insurance policy.
If your property manager is an employee of yours, make sure you have proper insurance in place to cover their actions and that they are bondable.
If your property manager works for another company or is an independent contractor, make sure they maintain appropriate licensing and insurance of their own.
Insurance Broker · Kansas City, MO · Member since 2017 · 370 posts · 127 votes
7y
@Nathan Williams Normally what I suggest to my clients (I work in the insurance industry as a broker, specializing in helping investors) is exactly what you stated. What I typically suggest to the investors I work with is to have 500k on each policy and to look into an umbrella to help add additional protection to their whole asset portfolio.
I agree with what Marcia said to work with an insurance broker because they will be able to truly shop your property policies across multiple companies, while the "big name companies" can only provide quotes for their single company.