Insurance when moving from my personal name to an LLC

Insurance when moving from my personal name to an LLC

Rental Property Investor · Charlotte, NC · Member since 2017 · 48 posts · 24 votes

I currently own my duplex in my name but i am looking to move it into an LLC in the near future. i spoke with my current insurance company and they don't cover commercial only residential. What are some good recommendations for the process of switching to commercial insurance coverage? I own the duplex near Atlanta, GA.

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  • Matthew NicklinBusiness Member
    Real Estate Agent · Woodstock, GA · Member since 2018 · 253 posts · 255 votes
    6y

    @Jordan Whitworth You want a business policy on it. Not sure who your current insurer is but I use an insurance Broker for some of my liability policies and I also use American Family who writes Business Policies on some of my rentals. If you would like their info feel free to reach out to me via PM. 

    I would strongly recommend having high liability coverage on rentals. I know a lot of people who have $1M in coverage but I personally pay a little bit more for $2M in liability coverage(it is really a lot cheaper than you would think to get higher liability coverage). Also make sure you are getting quotes at multiple deductible levels. You would be surprised at the difference in premium amounts when you increase your deductible. Part of owning rentals(Correctly) is having proper reserves, so you should have the reserves to meet the higher deductible. 

  • Insurance Agent · Norwalk, CT · Member since 2016 · 2k+ posts · 1k+ votes
    6y
    Jordan, If your LLC just owns the one property there are many companies that can insure it with the same policies that you would have in your name. Most common is a Dwelling/Fire policy. Some companies will call it a Landlord policy. Less of the companies will insure it under a personal form if the LLC owns multiple properties or has some other business associated with it. Check with Independent Agents in your area to see how they can insure it.
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