Surplus Insurance Line for Student Rentals

[Mark Esperti]

I'm currently doing my due diligence on a multifamily that's located within a college campus.  It's current tenants are not students but my plan is to replace the tenants with students within the year after purchase.  

My insurance provider has given me a warning that this will change my insurance from a standard dwelling/fire to a surplus line, specific to undergrad tenants.  The premium will go from $4k to nearly $12k.  How are landlords with student rentals handling this?   Do most landlords just keep this under wraps?

Thanks in advance!

[James K.]

Hi Mark, try Berlin insurance out of Worcester. They have given me great rates. 

Jim