Hi
I’m hoping for some advice on insurance cover for an IP.
I’ll give a quick introduction to my current situation before I cut to the chase:
I posted here a few months ago, with some queries on getting my first IP up and running. My circumstances have since changed (I’ve been offered work interstate) but, to cut a long story short, I have still been able to get my first IP off the ground.
While I’m stretched for time at the moment – having to organize removalists, property manager, car freight, lock-up storage, etc, - I still need to sort out my insurance.
Basically, I will be vacating my first home and setting it up as an IP, as of next week. So I will need to change the present home and contents (owner occupied) insurance cover to suit my new status as landlord.
While I have done as much research as time permits, I wish to leave no stone unturned, so I am turning here for some help.
Basically, I want to make sure that my IP has full cover. It seems that this can be done by taking out building cover and landlord protection cover. Why is this not usually done by having these consolidated into one policy?
Do investors not find that by having two policies (ie. building and landlord) there is some overlap of certain aspects of their insurance cover, and hence there is a certain amount of premium being wasted by doubling up on these items? Is it possible to find either a/ two complimentary policies which avoid this doubling up in cover, or b/ full cover with just the one policy (i.e. which covers building AND landlord protection)?
I am considering recommendations for Terri Scheer’s landlord protection insurance, and was hoping that my existing home insurance with Suncorp could be modified to cover the building as an IP rather than PPOR. While this is possible to a certain extent, I have discovered that my Suncorp insurance would still not cover me for accidental damage to the building by tenants. In other words, there would be a hole in my plan for full cover (as Terri Scheer will cover for malicious damage by tenants, but will also not cover for accidental damage).
Other posts which I have read have highlighted a similar problem, with investors discovering that there is potentially a hole in their insurance cover, despite the fact that they may have two complimentary policies which indeed double up on other areas of cover at the same time.
I would be happy to hear of other investors’ experiences dealing with particular insurance companies in trying to sort out these issues. Or, to be more specific, which insurance companies can anyone recommend as offering the simplest and most cost effective means of obtaining full cover for an IP?
Thanks ...
All the best
Sundancer
I’m hoping for some advice on insurance cover for an IP.
I’ll give a quick introduction to my current situation before I cut to the chase:
I posted here a few months ago, with some queries on getting my first IP up and running. My circumstances have since changed (I’ve been offered work interstate) but, to cut a long story short, I have still been able to get my first IP off the ground.
While I’m stretched for time at the moment – having to organize removalists, property manager, car freight, lock-up storage, etc, - I still need to sort out my insurance.
Basically, I will be vacating my first home and setting it up as an IP, as of next week. So I will need to change the present home and contents (owner occupied) insurance cover to suit my new status as landlord.
While I have done as much research as time permits, I wish to leave no stone unturned, so I am turning here for some help.
Basically, I want to make sure that my IP has full cover. It seems that this can be done by taking out building cover and landlord protection cover. Why is this not usually done by having these consolidated into one policy?
Do investors not find that by having two policies (ie. building and landlord) there is some overlap of certain aspects of their insurance cover, and hence there is a certain amount of premium being wasted by doubling up on these items? Is it possible to find either a/ two complimentary policies which avoid this doubling up in cover, or b/ full cover with just the one policy (i.e. which covers building AND landlord protection)?
I am considering recommendations for Terri Scheer’s landlord protection insurance, and was hoping that my existing home insurance with Suncorp could be modified to cover the building as an IP rather than PPOR. While this is possible to a certain extent, I have discovered that my Suncorp insurance would still not cover me for accidental damage to the building by tenants. In other words, there would be a hole in my plan for full cover (as Terri Scheer will cover for malicious damage by tenants, but will also not cover for accidental damage).
Other posts which I have read have highlighted a similar problem, with investors discovering that there is potentially a hole in their insurance cover, despite the fact that they may have two complimentary policies which indeed double up on other areas of cover at the same time.
I would be happy to hear of other investors’ experiences dealing with particular insurance companies in trying to sort out these issues. Or, to be more specific, which insurance companies can anyone recommend as offering the simplest and most cost effective means of obtaining full cover for an IP?
Thanks ...
All the best
Sundancer
