Rental Property caught on Fire

[Stacie Meeker]

Words of wisdom in case this every happens to you:

1.  Before you file your insurance claim, contact a Public Insurance Adjuster

Not only will you get a higher claim paid for damages, but they will help you determine damages.  They will meet your insurance adjuster on site and do all the leg work for you.

In exchange, they will want 10% of the claim paid out to them.   But I think it's well worth the cost.  Quite frankly, since someone else told me about using a Public Adjuster, I plan to hire one for every insurance claim that I file against all of my properties.

2.  Be sure you understand in advance that your lender (if you still have a mortgage) will want to control the insurance money released to you if the claim is over $10,000.00.  I recommend hiring a General Contractor who will be sure that the communications between you, the bank and the sub-contractors go smoothly.  Less headaches for you.

3.  You can contact the City Fire Department for a full report on the cause of the fire.  Often times they can recommend a good company that will restore your property.

4.  Have the property secured including your outside A/C unit.  It will take some time for the insurance company, adjuster, Private Adjuster and Lender to make funds available to start the repair process.  We had the A/C unit secured with a cage and had the house boarded up to deter thieves and vandals from creating further damages to your property.

5.  Keep a positive attitude.  This type of property damage is very stressful, but once you spend the time putting all the right people together.  You will be able to better handle anything that comes up.  

6.  Most important to me, is to contact all of your insurance agents now.  Ask them to add "rent loss" to your policies.  I learned the hard way, that not all insurance policies are created equal.  

I hope this post has helped you.  Or will help you be better prepared in case a fire occurs at one of your rental properties.