Best Landlord Insurance

[Sergio Aguinaga]

Hello everyone, merry late Christmas (: I have a question. What is the best landlord insurance agency to get in east MI (metro Detroit area) to get a good price but also provides everything that’s necessary to protect me in case something happens, from liability to property protection. As an investor, is it better to get cash value or replacement cost? Thanks for the help everyone!

[Andy Bailey]

I am an insurance adjuster for a major national brand. I adjust claims for buildings only, SFH, condos, small multi families etc. John Mocker gives a couple of good points as to ACV and RCV. However, the sole thing I wish landlords did was to inspect their rentals regularly, every quarter or every six months. This would alleviate a majority of issues that I see landlords face.

I receive a lot of "vandalism" claims from landlords because the tenants kept a pet, left trash behind, did not treat the home well etc. Most of the time the landlord has not been to the property in at least a year, sometimes multiple years! 

Another thing to try to get is loss of rents, (when you have a covered loss the lost rent is paid during repairs). It can save your cash-flow. I cannot say how many times, I've seen a claim where the landlord does not have loss of rents and they tell me they are selling the home because they cannot cover the mortgage during the repairs.