All Forum Posts by: John Mocker

Jay,

As mentioned before, the address you reside at (rent) is your primary residence.  That should be on the application.  The rental property is not your primary residence but should be listed on the application.  Make sure all your autos, boats, motorcycles, etc. are listed as well.  The umbrella provides coverage over the primary policies (provided you have the required Liability limits on those policies) for those vehicles as well.  Lastly, make sure all the regular operators of the vehicles are listed on the umbrella application as well. 

Check with your agent to make sure they are licensed to write with RLI in the state where you reside.  They may not be and that could be a problem.   If they are not, find a RLI agent in the state where you live.  There should be a way to find that on RLI's website.  If not, PM me and I will look it up for you

Alec,

From an Insurance perspective, ask the current owner to get from their agent "Loss Runs" for the past 5 years.  It is not required most times for a new purchase but it is good to have.  If there were losses, it may give you info on a problem that will reoccur.  You can also then check if the repair was completed.  

As long as you will be occupying the house, the normal policy to cover it will be a Homeowners.  Once you move out you will probably have to move it to a Dwelling Fire.  Be sure to mention to your agent about house hacking.  Most homeowners policies have guidelines on the # of renters and other things related.

Mason,

From an insurance perspective I would add, getting 5 year (or more if possible) Loss Runs.  These are reports from the insurance company that issued the policy listing all losses that are attributed to that policy.  The reports should be currently dated (produced recently).  Most Commercial Insurance companies will want to see those Loss Runs to quote the Property/Liability coverage.

The loss runs are also important to you as they may indicate an ongoing problem or one that you need to make sure was properly repaired.

Bian,

I've insured 2 unit associations and found the bylaws can deal with who owns parts of the building differently.  Normally, for condo associations, most of the building is deemed common elements.  But I've found some others that some (if they are side by side units) will push the Building elements more on the owners.  Regardless of who you use for the insurance, be sure to review the condo declarations and bylaws with them to determine what the association needs to cover and what the unit owners are responsible for.

John Boby,

Two specialty markets (Foremost and American Modern Home) used to insure rental properties under a Trust.  If you check their websites they may give local agents contact info.  Another avenue to explore if they do not work out is using a commercial policy (Business Owners or Package policy).  They may be more willing to make the Trust the named insured.

Sydney,

The type of planning you are considering is often a team process. CPA, Attorney, and Financial advisor working together. You need to weigh out the costs, benefits, and drawbacks of the different scenarios such as keeping in your name, putting in LLC, forming a trust, etc.

I would also suggest reviewing your leases, etc. with the CPA and Attorney (might have to be a different attorney that specializes in Real Estate). Leases and contracts with sub-contractors if drafted correctly, can protect you and lessen losses. Also, setting up proper banking and other procedures is important if you choose an LLC option (avoiding things that will help an appossing attorney break through the LLC)

Byran,

Is this a new construction or renovation.  If new construction it would be a Builders Risk.  If a renovation, it would be a Renovation Builders Risk.  There are several National Insurance companies that could easily handle 1.6M.  The issue will be, are they writing in FL.  If you PM me the address and a quick detail on the project I can find out if any of them is writing in FL for your location.

Denise,

The issue that your client is likely dealing with is that there was a Warranty endorsement on the policy (part of the insurance policy that states that something must be done).  It is common on vacant dwellings for the policy to have Warranty that either the heat will be maintained at a certain temp. or the pipes will be drained and winterized.  

Xu,

From your post I gather that you will have one occupied unit and one that will be under renovation.  If duplex is vacant when you are doing the renovation, the normal policy we use is a Renovation Builders Risk.  That covers the existing structure and the renovations as they are incorporated.  Most Standard companies do not like a Renovation where part of the structure is occupied.   

Depending on how long the renovations will take and what is being done, your agent may be able to get a company to write it.  

Regarding the Vandalism, your insurance would normally not cover the property of your Tenant.  They would need their own renters insurance to cover vandalism.

Keonnee,

The insurance for the property should be in the name of the owner as listed on the title. If that is you, then a regular homeowners is the probably the way to go. The mortgagee needs to be listed on the policy. If they are not aware of the sale, there may be issues when they see the named insured has changed to you or the LLC.

If the old owner still has title, you may need two policies.  A dwelling fire policy that covers the building and a Renters policy for your contents and Liability.   

I would discuss this with your agent to make sure the property is covered correctly