Insuring a Unique Multi-Unit Property

[Edward Pulido]

I am under contract to purchase a property that is a bit unique and has apparently become a nightmare to insure. The property is a single family home with a garage apartment that has 3 separate units in it. Essentially the property is a quadplex. The buildings are on the same parcel, but the garage apartment and house have a completely different address. My insurance broker is telling me that if the property had the same address for both buildings and one unit in the garage apartment, then it would be able to be insured as an "other structure." I then asked if we can have two separate policies because their are two different addresses. Her response was that she cannot insure a garage apartment with its own policy. She's recommending a lloyds of london policy with a very high premium. Has anyone run into an issue like this before on these types of properties? I can't believe I'm getting ready to lose a deal because I can't find someone to insure it.