All Forum Posts by: Courtney Urbanek

Thank you for sharing! At NREIG, we strive to provide clear and comprehensive communication about the coverage options available to our clients. Our program offers a range of coverage levels, including basic or special form coverage and actual cash value (ACV) or replacement cost (RC) loss settlement methods. The flexibility allows investors to select the coverage that aligns with their strategy and budget.

When clients receive a proposal, they are guided through their coverage options by an expert team member. That said, we understand that insurance details can sometimes be complex or overlooked during the decision-making process. That's why we encourage all clients to review their policy documents and send them a Monthly Inventory Report. We’re always here to answer questions or provide guidance to ensure there are no surprises when it comes to coverage.

Maria,

Additional Interest is anyone who has vested interest in the property and is not the policyholder. Typically, this would be lenders or mortgagees so that they are notified in the event there is a lapse in coverage or a non-renewal. Additional Interests are not afforded coverage through your policy and cannot make policy changes or file a claim.

Additional Insured is anyone afforded coverage under a Property or Premises Liability policy who is not the policyholder but has the authority to make a claim on the policy or has an insurable interest in the property. Additional Insureds may be listed on claim payments if they are also a Loss Payee.

When you hire a property manager, the PM takes on a lot of risk that their insurer may not cover. And when something goes wrong, the PM is often the target of any resulting litigation along with the landlord. Adding the PM as an Additional Insured means that any coverage you have is extended to them. This makes the claims and litigation process easier because the PM and landlord are represented by the same insurance company. Without being listed as the Additional Interest, the PM would have to take on costs upfront and then seek reimbursement from your insurer.

Hope this helped!

@Marco Padilla,

Thanks for sharing your thoughts. I apologize that your experience with us lately has not met expectations. We take pride in our communication practices and will take your feedback to heart for continuous improvements. Per our Program Participation Agreement, all clients receive rate change notification via email with 30 days notice and cancellation notification for non-payment with 10 days notice. It sounds like you have spoken to our team over the past two days and we hope we were able to provide an acceptable resolution. We value you as a loyal customer and hope to continue to earn your business.

Thanks for sharing, Rob! Insurance is definitely a confusing and important topic. So, hopefully I can help clear some things up.

DP1 and DP3 are personal line policies. NREIG uses commercial line policies. That’s why you may see Basic or Special Form instead. DP1 (Basic Form) is the most basic coverage form and the cheapest. DP3 (Special Form) is a lot more comprehensive and more expensive. Most insurance companies offer both a Basic and Special policy form option.

Some of the coverages you mentioned, may be ancillary products with different names. I broke down each one and how NREIG would insure it. Ancillary Products are optional coverages that cost extra but may also be added and removed from your policy at any time.

Sewer Line -> Service Line (ancillary product)

Water Backup -> Tenant Protector Plan (ancillary product). Sewer Backup under TPP is limited.

Water Damage -> Included on Special Form policies.

Personal Property -> Typically, the tenant would get Renters Insurance for their items. However, if you furnished the property, this is something you can ask your sales agent to add. This would only cover items you own.

If you don’t want to sacrifice coverage and lower costs, you could ask your sales agent for a quote with a higher deductible. Overall, insurance is a unique situation and depends a lot on your risk tolerance. I hope you find what you’re looking for!

Sandy, 

Insurance is a very personalized experience. A lot depends on your risk comfort level, where the property is located, how old the property is, etc. With that being said, here are some items you may want to consider.

· Actual Cash Value or ACV (the amount to replace your damaged or stolen property minus depreciation at the time of loss) vs Replacement Cost or RC (what it costs to replace your damaged or stolen property regardless of depreciation.) ACV may be less expensive but could cost you when depreciation is applied to a claim.

· Always carry enough liability coverage to protect your assets. As a minimum, you should carry $1MM per occurrence. The larger the portfolio, or the more units in one building, the more liability protection you should consider.

· Ordinance and Law Coverage helps protect against additional costs you may incur to bring your damaged property back to code after a loss. Building codes change over time, so it’s a good idea to have this coverage if your property is older.

· Loss of Rents or Business Income Coverage provides coverage for your lack of rental income if your tenants are forced out of your property due to a covered loss. Some policies have built-in coverage to a certain limit, such as 12 months. Other policies may have an endorsement you must purchase at specific levels of coverage.

· Most policies have exclusions for losses such as earthquakes, water and sewer backup, and flood coverage. You can typically buy these coverages back through endorsements. Make sure you understand how each coverage may apply to your property before purchasing.

· Special Form coverage is the most comprehensive. With Special Form, unless there are specific exclusions listed within the policy, the coverage is afforded to you in the event of a loss. Be sure to review your exclusions and endorsements page to make sure you are covered for what you want. Many insurers often exclude Theft.

I hope this helps you find the right insurance to fit your needs. Good luck!

Son, we are sorry you are unhappy with your recent experience. We never like to deliver this sort of news, but it is an unfortunate necessity in this market.

We include the cost for 12 months in our proposals because a lot of investors like to (or their lenders require them to) pay for a year of coverage upfront and it’s easier for them to compare rates. These quotes are not a 12-month contract. That’s why we have all insureds sign our Program Participation Agreement, which describes that we are a monthly reporting program, with our carrier partners able to make changes to coverage at any time with 30-day notice. I have verified that the notices were sent to you via email. In addition, each client receives an invoice outlining their coverage and monthly costs prior to charges running, which gives investors an opportunity to ensure their coverage is as expected each month.

We are always willing to work with clients on coverage options to best fit their needs and budget. We appreciate your business and take your feedback very seriously. Thank you.

Dave - Thanks for sharing your feedback and I’m sorry to hear about your experience. We have and continue to survey our clients to ensure we are providing the best service possible. While most of our clients share positive results, we understand there is always room to improve. If you ever decide to insure your properties with us again, we hope you’ll see just how far we’ve come.

Ronald - As an independent insurance agency, our Client Experience team’s role in the claims process is to assist our clients in gathering documentation and submitting the claim to the appropriate carrier. The carrier, typically working through a Third Party Administrator, appoints a local independent adjuster to act as your primary contact as the loss is investigated. Then, the carrier determines how to settle the loss based on the report. NREIG helps in advocating for our clients throughout this process.

I’m sorry to hear about your experience. We’ve worked diligently with our carrier partners to keep rates stable for many years. Unfortunately, factors like a hardening property market, inflation, labor shortages, increased building costs, and an increase in claims frequency and severity have caused our carriers to require increases to both rates and coverage amount minimums to keep up with these market conditions. Per the Participation Agreement all insureds sign, we are a monthly reporting program and are required to provide a 30-day notice outlining any coverage or cost changes, which was sent via email.

Our intent is to always update clients as quickly as possible of any changes and provide excellent service. We apologize that you had difficulties reaching us. In talking with the team, I understand that a CSA is working with you on coverage options to best fit your needs and budget. We value you as a client and hope to continue to earn your business. Thank you!

I’m sorry to hear about your experience. We’ve worked diligently with our carrier partners to keep rates stable for many years. Unfortunately, factors like a hardening property market, inflation, labor shortages, increased building costs, and an increase in claims frequency and severity have caused our carriers to require increases to both rates and coverage amount minimums to keep up with these market conditions. Per the Participation Agreement all insureds sign, we are a monthly reporting program and are required to provide a 30-day notice outlining any coverage or cost changes, which was sent via email.

Our intent is to always update clients as quickly as possible of any changes and provide excellent service. We apologize that you had difficulties reaching us. In talking with the team, I understand that a CSA is working with you on coverage options to best fit your needs and budget. We value you as a client and hope to continue to earn your business. Thank you!

I’m sorry to hear about your experience. We’ve worked diligently with our carrier partners to keep rates stable for many years. Unfortunately, factors like a hardening property market, inflation, labor shortages, increased building costs, and an increase in claims frequency and severity have caused our carriers to require increases to both rates and coverage amount minimums to keep up with these market conditions. Per the Participation Agreement all insureds sign, we are a monthly reporting program and are required to provide a 30-day notice outlining any coverage or cost changes, which was sent via email.

Our intent is to always update clients as quickly as possible of any changes and provide excellent service. We apologize that you had difficulties reaching us. In talking with the team, I understand that a CSA is working with you on coverage options to best fit your needs and budget. We value you as a client and hope to continue to earn your business. Thank you!