WHY CAN'T I GET AN INSURANCE QUOTE ON MY RENTALS!!

[Jennifer Handlin]

Why is it so hard to find an insurance agency that can provide insurance for 9 rentals in LLCs, umbrella policy for all of them and do this with in a reasonable cost? Im am better off keeping my properties out of an LLC and not putting them together with one agency. Why does it cost more to have LESS coverage if you go commercial? I get more coverage for less $$ if there not commercial, BUT I want the umbrella policy. Anyone with experience navigating though insurance and hours sitting on the phone trying to beg someone to quote my biz. Thanks!

[Mike H.]

Can't help you with the umbrella policy issue. But I know that my insurance company doesn't differentiate on the ownership type. The rate is the rate. They specialize in investment property.

Another added benefit in using them is that you can get replacement cost insurance but you can get it at a number that makes sense to you. In other words, when I had State Farm, they would set the max replacement cost for what it would cost to rebuild. So even though the house appraised out at 140k, they were still requiring me to insure the house for 210k. And I inly owed 80 or 90k on the house.

The new one lets me do replacement cost but lets me set the amount I want to max out at. So in this case, I switched my coverage to 100k - enough to pay off the loan plus a little something extra to take care of any lot demo.

Then I figured I would end up with a lot free and clear. Saved myself about 30% on my insurance costs. Over 17 properties, thats a nice chunk of money. Roughly $400 a month - or 5k a year in my pocket which basically pays for a nice vacation for my family every year.

You might be able to check with them about an umbrella policy as well.

Their name is Affinity Group. Also go by National Real Estate Insurance Group.

btw: I am not an employee of theirs, nor do I get any kind of referral anything either. Just a satisfied customer with their very unique service.