Loss of use/rent coverage DENIED due to turnover

[David Green]

There was a fire in a Chicago condo that I have been using as a rental unit for 5 years. Insurance is refusing to pay for "loss of use" since I did not have a tenant in place during the actual loss.

Is this common practice? Do you have any advice on how I might challenge their decision?

Any help would be appreciated.

[Jason Bott]

@David Green yes, this is common.

If the repair will take extra long, 90-120 days, you may be able to argue that you could have placed a tenant during the time it is down durning repair.

  Show annual receipts from the last 24-36 months and ask to be compensated on the average monthly rate over those last 24-36 months on the unit.  Maybe you can get a % of the rents.