All Forum Posts by: Jason Bott

Quote from @Leon Lee:

Hello fellow STR investors!

I own a quad that is currently being used for short-term rentals. However, the insurance policy I have with Farmers is quite expensive. Recently, I received a quote from Safeco that is only half of what I am currently paying (with similar terms). The broker mentioned that as long as the policy included the term ‘seasonal’, it would cover vacation and short-term rentals.  I am a little hesitant to switch to Safeco because of their parent company’s reputation. According to the Better Business Bureau (BBB), Liberty Mutual Group, Safeco’s parent company, has a low rating. 

Have any of you used Safeco for your insurance needs? If so, could you share your experience? 

Thanks in advance!

Lee

Lee, Liberty is a Fortune 100 company and you will have similar claims response from both companies. I wouldn't hesitate to make the move as long as it it underwritten correctly. You want to confirm that the term "Seasonal" includes STR to 3rd parties.

Insurance premiums are on the rise in 2023 and are predicted to continue to rise in 2024.  Are you going to just take it?

Why not let one of the largest brokers in country work on your behalf.  My team and I will assess your current portfolio and recommend the if there is a better fit for you and your investment.

Interested?  2 simple options to start saving $.

1)  Send me an email with your current portfolio - [email protected]

2)  Give me a call on my cell and we can discuss 414-788-2080

We look forward to serving you!

Jason & Team

@Account Closed we just put together a policy for vacant land in CA with 7 parcels.  There are other options out there.  

The vacant building will add some risk, so the Liability cost will be more than only a vacant parcel of land.

@Ricardo A Guerra where is the property located?  As of Oct 2023, CA & FL are very difficult to place coverage besides working with the state funded plans.

@Brittney Wright I can send you a list of the carriers we have been using this year that are still writing new business.

Quote from @Marcus Auerbach:

Jason Bott at Robertson Ryan and Associates @Jason Bott

Marcus, thanks for the mention.

Adriana, We would be happy to help.  I just sent you a DM.

@David V.  @Cory J Thornton This is a common underwriting requirement. From a risk profile, tenants on an annual lease will file fewer liability claims than tenants on a MTM lease.  

Underwriting criteria will not be found in the policy.  Additionally, once the policy is in force, the carrier can not deny a claim due to the term of the lease.

This is more a cause of the insurance Property market tightening up.  3-4 years ago, the same underwriters didn't ask about the lease terms.

Time to go out and shop for a new program:)

@Jay Patel I'd connect with @John Mocker.  His agency is local to you and very familiar with the best carriers to approach in this market.

@Liran Rotter I will DM you options.

Quote from @Henry Clark:

Quote from @Jason Bott:

@Henry Clark #1 sounds to be a carrier specific underwriting guideline.  We haven't run into that stipulation with the Midwest carriers.

Insurance on any Property coverage (Commercial, Industrial, Homeowners) is taking a rate hike nationally in 2023.  All reports point to this trend to continue through 2024.  The % rate increase will depend on how good/bad the natural disaster are for the rest of 2023.

 If you could Ask your carriers the difference between bonded warehouses, warehouses and self storage coverage.  Do they view liability different between the three.   Thanks. 

Henry, I can answer that.

A self storage operation is classified as such if the owner of the their property is the one taking them in and out of storage.  The storage facility does not get involved with the receiving or shipping of Property of Others.

A Warehouse receiving and shipping assumes Care, Custody and Control of the product without the owner being involved.  A Warehouse covers this Liability with the purchase of Warehouse Legal Liability coverage.

As you can see, there is much more exposure with a Warehouse operation than a self storage facility.