Insurance

[Paul34]

Hi Guys

Just a quick note on a case I had recently. I had some tenants trash a place, as they do from time to time, but luckily I had the landlord insurance.

Anyway, I finally got my last payout and despite some initial problems with the asseor it went real well. They covered the rent, and malicious damage. Sure there was the odd debatable bit but my PM had done a superb job of taking photos both prior and post.

I have talked to the insurer subsequently and it turns out mine was the first case so no wonder there were a few teething problems. Anyway now that it is sorted just thought I would say that it is worth it for piece of mind.

I went with the terri Schier insurance scheme.

BTW: I have no attachment, kickback, or free ginsu knives associated with this post. Just a public announcment.

[stixster]

an insurance question

Firstly, I have been reading the PT forums for the last month, what a great resource for newbies like me and the fact that you all don't necessarily agree with each other is even better - you a more balanced view on things.

Secondly, this is my first post and I am just about to purchase my first property. The question of insurance has come up. I have interviewed three Property Managers and they all offer their own Landlord Insurance policy.
a) should I have one of these policies?
b) how does it differ to standard house insurance
c) what should I look for in such a policy
d) can you recommend a policy/company?

Thanks for your advice.

[NESW]

I also have Terri Schier insurance on two of my properties. Considering some recent issues coming to light in regard to one of my tenants, I am extremely happy that I have that peace of mind if things do go pear shaped as they well look like they might.

I believe the insurance can only be taken out if the tenants have a good credit record as well, so its up to your PM to thoroughly check them out. Be mindful that TS pay PM's a fee though for introducing you to their policy. You may not be comfortable about this and there are other products on the market. You need to compare what each policy will offer you before you tenant your new investment. I believe it cannot be taken out on existing tenants, but only new managements. I could be wrong on this point and happy to be corrected if this is so.

As far as I am aware of, it covers damage to your property (check your "standard" house insurance policy, it may exclude deliberate damage by tenants and their guests) and the rental income that you are unable to earn whilst attending to the repairs of up to a year's worth.

But I am relieved to hear that someone's experience with Terri Schier insurance has been positive.... although it is one business that I don't look forward to having to deal with for obvious reasons...

[Careynz]

Terri Schier insurance

Guys,

Excuse my ignorance but how do you get hold of this Terri Schier insurance? Can't find any reference through google or the Whitepages.

Does any one know of good alternatives to get comparisons?

[NESW]

Probably because I have been spelling it wrong! Sorry...

Terri Scheer insurance Ltd Suite 2 First Floor The Strand Whangarei 09 4380 650

[Carex]

Referral fee paid to Property Manager

Be mindful that TS pay PM's a fee though for introducing you to their policy. You may not be comfortable about this and there are other products on the market.

I too use Terri Scheer Insurance. The premium was $222.50 which included $48.22 to the Property Management company, so it is not a significant cost. If a claim is made I reckon it's better to utilise the relationship that the PM has with the insurer, and their commission would pale into insignificance if claiming loss of rent due to damage, absconding tenant etc.

Christine

[NESW]

Yes I tend to agree Carex. Having dealt with suspicous insurance companies looking to duck payouts in the past when people have claimed damages for "lack of maintenance" issues, I tend to think the more professional 3rd people involved in the claim all the better to support it...