Insurance claim on rental properties a good idea?

[Shiv A.]

Hi - I recently had a rental property basement damaged due to street flooding which caused water in the basement and therefore damaging furnace and hot water tank. I paid 3600 out of pocket already to fix it. Is it worth to go through the insurance claim? I am covered under flood? 

Can someone explain when it is or is not a good idea to file claims for rental properties with regards to it impacting insurance premiums later on. 

[Bill B.]

I wouldn’t never make a claim under $5,000 and probably not under $10,000. Even with just a dozen properties the “no claims discount” more than makes up for any “small losses”. I also have $2500 deductibles as the savings over $500 is almost $1,000. So every 2 years I save the extra. 

In more than 20 years with a dozen properties I’ve had  1 - $2700 clothes washer overflow I paid out of pocket and 2 x $30,000 water damage claims. Both for toilet supply lines bursting. (Make sure you don’t use the the metallic hoses that look like snake scales/knight armor joints. Only the braided lines.).