All Forum Posts by: Anthony Lee

@Nick Aderman You would want to be an additional interest, not an additional insured. You are able to get, or have the tenant get a stand alone animal liability policy to cover this specifically as most Renter's Insurance Policies, specifically exclude coverage for animal liability losses even if they allow for the policy to be written. 

@Kyle Johnson the number you have listed for insurance is incredibly low. Definitley would be best to speak with an Independent Agent or Broker. 

@Thea Logan Welcome to the forum! I'm sure you'll find the community a great resource! 

@Sonya Brown Congrats on the new properties. Starting a contracting company can be beneficial in some situations. But when you do so, you enter into a whole new world of insurance concerns. Do you intend to run the company on it's own with various clients or just for yourself? Thats question number 1 in my opinion. 

@Nick G. Welcome to the community! I'm sure you'll find it a valuable resource! 

@Amy Beth It's good that you require that the tenant's have renters insurance. Especially if they have pets. However, it is important to note that policies will vary as to how pets and animal liability coverage is handles. Most policies, have an animal liability exclusion. It sounds like it would be important for you to check to make sure their policies do not have such exclusion. 

@Kristopher Hanks @Kurt K. Renter's Insurance provides important liability protection as well, not just personal property. e.g. if the tenant causes a kitchen fire which damages your building, you're insurance policy will likely be able to subrogate against the tenant's renters liability insurance as they may be liable for the damage. Generally if the carrier is able to subrogate, the claim, although put in by you, will affect you significantly less than if they were unable to subrogate.

@Justin Fox You should definitley carry coverage for your contents in your own home. Generally contents coverage, loss of use, etc, on a home owners policy are based on percentages of your Coverage A, or dwelling coverage. There are carriers which will allow you to pick and choose the limits you would like.

@JD Martin As you mentioned if they loose their stuff because they didn't have it, oh well. But what if they start a fire or something happens which they are liable for and it causes damage to the building which you in turn must file a claim to fix. Are you willing to risk your insurability and your insurance premiums increase for something that the tenant caused? 

@James Barnhart You as the owner of the property should be listed as an "Additional Interest" not an "Additional Insured" on your tenant's Renter's Insurance Policy. As an "Additional Interest" you will be entitled to receive evidence that the insurance is in force as well as any notices of non-payment or cancelation. 

If you are listed as an "Additional Insured" rather than an "Additional Interest" this may actually cause significant problems in the event of a loss. As it would then become a matter of insured vs insured which most policies have a clause which significantly limits coverage in this situation. For example, Your tenant causes a loss which they are liable for, as an "Additional Insured" that loss has just become your loss as well and may impact your future insurability and/or rates as the landlord. 

@Albert D. I'm sorry to hear of your loss. The purpose of insurance is to indemnify (make you whole) after a loss. Insurance claims procedure varies from company to company. It would be best to speak with your adjuster or agent regarding what you can and cannot do when rebuilding the property. 

It is important to have an open dialogue with your adjuster and your agent. They should be there to walk you through the process. 

It was very kind of you to provide the tenants with $1,000 Each. to help them through the process. Did you know some insurance companies will actually provide coverage for tenant displacement in this sort of situation? 

Do you know if the tenants had Renters Insurance? If so, this will help them in the replacement of their personal property and should provide coverage for their loss of use until your property is rebuilt. 

@Account Closed Property Insurance rates in that area vary greatly from carrier to carrier. It is best to speak to an independent insurance agent with access to many carriers. He or she will be able to advise you best in this matter. 

Regarding flood insurance, it's based on the particular zone, if the property is in a Special Flood Hazard Area, or high risk zone, flood insurance will be required and there may be private alternitives to the National Flood Insurance Program which will likely be more affordable. 

If the property is in a moderate- to low-risk zone, flood insurance is very reasonable, especially if the property is owner occupied.