Who should be primary named insured?

[James Kim]

Hello,

in a land trust structure with an LLC trustee and beneficial owner (where you are the grantor of the land trust and 100% owner of the LLC), and the property was deeded to the land trust with the llc named on the deed as trustee. When it comes to landlord insurance who should be listed as the primary named insured? The land trust or the llc? The other would still be listed as additional named insured. Or does it not matter as long as both are listed as either primary names insured and additional?

Thank you in advance !

James Kim

[Trevor C.]

Hi James, 

Sorry for the late reply but good question. 

I assuming the insurance company has you LLC listed as primary insured because you vest on title through that entity? Most lenders are going to want to see everything match when writing the debt instrument. What I mean by that is: loan in personal name = property in personal name. Loan in LLC = property in LLC. It Sounds like you took the loan out in your name when you vested personally as a natural individual and then deeded into your LLC. Am I correct?