12 most common pitfalls survey

[brettc]

Hi everyone

As regular posters may be aware I wrote an ebook some time time ago on the "12 most common pitfalls when insuring your rental property". And a recent post in a different thread got me thinking that it would be interesting to know how people rated the different "pitfalls" from the least important to the most important. And what better place to ask than on the Somersoft forum.

So I have created a simple one page survey to test it out and will post the results back here. It's completely anonymous and will take two minutes tops, so if you would like to complete it complete the survey here.

If you would like to see a full copy of the ebook you can view it online here, or if you would like a pdf version you get one automatically when you sign up to our newsletter.

 

[HD_ACE]

Done..........

 

[Damien Cox]

Done. I'd be interested to see the results.

 

[brettc]

Done. I'd be interested to see the results.

I will definitely post them once there are enough responses.

 

[dragun]

Hi Brett,

I see you're an EBM insurance broker. I was using EBM for my landlord insurance but discovered a few months ago in the PDS that EBM does not do 'new for old' replacement. After calling the EBM and putting forward a scenario of 10 year old carpet that gets burnt by a tenant and needing to have it (or a section) of it replaced, I was told that the pay out to me would be the cost of new carpet, depreciated by 10 years and I would get the difference - even though I would obviously need to pay out for new carpet! I was astounded to say the least. Can you confirm if my understanding here is correct please?

Cheers

 

[Sez]

Hi Dragun - just thought I'd also mention that if you went to tribunal for 10 year old carpet that had been burned they too would depreciate for 10 years.... in VIC it's typically 10% per year, they may award a sum for malicious damage though .

 

[itinerantotter]

Done. Most interested in the replies.

cheers

 

[Lil Skater]

Done.

I have a number of your little booklets sitting around, they're so handy!

 

[brettc]

Hi Brett,

I see you're an EBM insurance broker. I was using EBM for my landlord insurance but discovered a few months ago in the PDS that EBM does not do 'new for old' replacement. After calling the EBM and putting forward a scenario of 10 year old carpet that gets burnt by a tenant and needing to have it (or a section) of it replaced, I was told that the pay out to me would be the cost of new carpet, depreciated by 10 years and I would get the difference - even though I would obviously need to pay out for new carpet! I was astounded to say the least. Can you confirm if my understanding here is correct please?

Cheers

You're quite right, floor, wall and ceiling coverings (paintwork for example) are depreciated by 7.5% per year, the intention being to replace to the condition at the time of the loss. It's not designed to cover wear and tear so this is what it is taking into account. Of course at the end of the day any policy needs to balance what it can pay out against premiums received, or else they will fail, and that's when they start getting narky on claims. Any policy needs to be looked at with all the cover considered rather than a single feature.

However if let's say a tenant completely trashed a property we would repair it i.e. holes in walls, complete painting, new kitchen etc., as well as the associated rent loss.

 

[Macca]

Done, thought I better since I was the one who commented

 

[Brett R]

Survey completed!