06/09/2024
Last week I spend a full day in searching for insurance for a buyer ( to help find best rates )
Spoke to about 7-8 diff insurance brokers
Here is the scenario with my recommendations
1. Diff insurance brokers with same coverage a diff of close to $700-$800 per year in insurance coverages
2. Diff brokers -using same underwriters - one can cover wind and hail upto- min 2 percent( cannot cover 5 percent ) . Another one with same underwriter can cover 5 percent wind and hail . Could not understand logic - possible due to volume business
3. Cheapest was around $2100 and max around $4000 . Coverage limits not much different . However different underwriters . Went with $ 2100 with actual cash value of roof ( higher risk )- roof is 7 years old so willing to take a chance .
4. Lot of insurance cos started to send inspectors to inspect houses before coverage
5. Changing policy every year with diff cos is highly recommendable .
6. There are cos which are specialized in landlord insurance only - may be a bit cheaper
But may not cover home owners policy
It’s eye opening when you dig in far enough and talk to several people and get quotes and see such a huge fluctuation in insurance premiums . It’s a full time job to get right coverages but you need to put in the work
You have to evaluate your age of roof and then take wind and hail accordingly 2 percent or 5 percent deductible . I am fine with 5 percent as long as have decent coverage on other areas Ie replacement value . Roof - this time I took actual cash value - yes higher risk but with 2.5 yrs of insurance premiums I can change the whole roof by myself .
Don’t just depend on one company and get 8-10 diff quotes and talk to as many realtors you can and get tons of referals on insurance name and numbers and tell them where you need to be on insurance premiums. I am surprised started with 4000 and ended up at 2100 but yes had to give in a lot
May have to keep doing this exvercise more often with the ever changing world of insurance
