Role insurance plays

[Kyle Carter]

What role does insurance play in protecting your investments. I would love to hear a story of someone where they explain how insurance has helped them with their property.

I am getting into out of state real estate investing this month and am curious to hear other perspectives.

[Anthony Angotti]

Quote from @Kyle Carter:

What role does insurance play in protecting your investments. I would love to hear a story of someone where they explain how insurance has helped them with their property.

I am getting into out of state real estate investing this month and am curious to hear other perspectives.

 Moves risk to be financially covered by insurance hypothetically. That's all there is to it. 

You only want to file a claim if it's much greater than deductible or your rates shoot up pretty quickly. 

I've filed claims on things that are pretty severe and couldn't cover out of pocket, so as a result I just upped my deductible. Since I was only filing on major things like underground utilities, fires, etc. You should 100% have insurance because of the worst case scenarios (what if someone dies and they blame you the property owner), but it's not something you'll want to use frequently. 

You'll want to have an insurance agent familiar with rentals since a lot of the extras on your coverage that you will want, the average insurance agent won't know to give you.