NREI Insurance - Mainly for rehabbers?

[JJ Cole]

I have searched the forums for recommendations on a commercial policy for covering multiple SFR rentals (I have 8). Apart from SWBC and American Modern, I notice NREI listed but this one is mainly recommended for rehabbers. Is this company not a viable option for long-term rentals? Also will the commercial policy from all these companies have similar coverage?

[JJ Cole]

Nobody have experience with NREI?

[Tim Norris]

Hey JJ,

Of course, I am not "un-biased", but we certainly handle rentals. Over 80% of our 26,000 or so insured locations (predominantly SFHs) are occupied rentals...

Tim

[JJ Cole]

Thanks Tim, is a commercial policy that covers all perils or is it a named peril only?

Also replacement value?

[Tim Norris]

We offer Replacement Cost or Actual Cash Value and Basic or Special form...your choice on a per location basis, too...

[JJ Cole]

Sorry not familiar with Basic and Special Form. Ideally I would like an all perils policy (no limits on water damage etc.). Is either of these that?

[Tim Norris]

Here is a chart we use to summarize the difference between the two forms...Special is the "most comprehensive". The forms are standard, by the way...

[JJ Cole]

OK so this looks like Named Perils only. Thanks but I am looking for what I currently have, All perils (i.e. covered if not explicitly mentioned as excluded).

[J Scott]

I used NREI for a while for my rehabs (probably 15 properties over 2 years), and never had any issues -- the people I dealt with were nice, the rates were good, and the online management system was pretty decent. And luckily, I never had to file any claims during that time.

That said, I have an investor friend who recently had to file a claim with them, and things didn't go as smoothly as either of us would have expected.

I'll see if I can get him to comment on this thread with his experiences...I don't know all the gory details...

[Tim Norris]

JJ---the chart represents Basic (CP1010) and Special (CP1030) Special is "all risk" which means that unless that which causes the damage is an "excluded peril" (think flood, EQ, and others) there is coverage. It is the most comprehensive form available in the industry...I am happy to talk through this with you "off-line", if it will help. TN

[Tim Norris]

J Scott---that's never good news. Let me know if I can assist and/or make right anything...please...I know this may not be the best venue to "air laundry", but I am certainly ready and able to do anything I can to help...

[Jean Bolger]

I spoke with NREI about a policy for a multifamily (29 units) earlier this week. The lady I spoke with did give me a price but said their prices are more competitive on smaller properties (8 units or less?) and SFRs. She suggested some other companies that might work better for my needs, which I thought was cool. I like when people try to give you real help rather than just make business for themselves!

[Bill Bockwoldt]

I spoke with NREI and while I did like the flexibility I didn't find their pricing to be very competitive. Although this could be due in part to my lack of insurance understanding and possibly not comparing apples-to-apples. Since I am currently going through a claim with my current insurer due to a storm that damaged several properties, I can tell you that individual policies are no fun at all in that case...I talked to 5 different insurance companies and find a huge range in coverage vs. pricing, including looking at commercial coverage (all properties under one policy) and individual policies.

[Mehran K.]

I use NREI for the landlord policies on all my rentals. I haven't had to file a claim, so I have no experience on that end. I feel their rates are very competitive and I like the ease of adding a location. The fact that @Tim Norris is here on BP is a major plus as well. Seeing how he is willing to "air laundry" here is a big thing.

[James Vermillion]

I use NREI for both rehabs and rentals. Fortunately, I have not had to file a claim either, but I have found the rates to be competitive, and the service to be satisfactory. I also love the monthly billing (same cost each month)...that really makes things easier.

[Cuong Le]

Hi @JJ Cole . Based on @Mehran K. this past weekend. He was very helpful explaining ACV and replacement cost policies. It looks like their prices are competitive for 1-4 unit single families. We are still working on the quotes right now and should get this soon this week. Their requirement is minimum $45/sf for actual cash value and $65/sf for replacement policy. All of our houses are for buy and hold.

[Chris C.]

I like the ease of use and keep 20 to 25 properties covered by them.  However save every single communication you have with them.  They have failed to cover two of my properties this year due to their error.  I have had to prove my case with saved emails.  This is going to make me shop other alternatives since I have not checked the market in a while.  

I have not had a claim with them but I am concerned there will be issues when I do.

Update:  Just got feedback from them on their last error.  I will be moving all my properties.  Their processes and systems are just not reliable enough for me to trust them.