Landlords Insurance Rejection...Where to next?

[kathryn d]

thats really going to go down well isnt it!!

oh mr/miss tenant, the repair bill for all the holes you made, destroyed kitchen, cigarette marks, tons of rubbish, plus unpaid rent, unpaid utitlites
comes to a grand total of $10k, how would you like to pay for it???

even if you take them to tribunal, if they dont leave a fwding adress, you are boned,
get them to court, you cant get blood from stone,

so chances are they will pay back $5 per week for 20 years!1

We learn and modify, from our mistakes/problems.
This year we have started requiring our tenants to provide a Substituted Service contact when they sign their lease.
Should they take off and skip, we have their signed permission, allowing us to serve an alternate address.Something you may want to consider adding to your leases
We have already used it this year in court, with success.

All the above you mention, we do several times a year.
I'll happily take the $20 a month for 20 years...interest is added by our Sheriff.

 

[Deltaberry]

Insurance companies only want to insure people who never make claims. How do you think they have 500,000 lazy employees?

 

[Truly Exotic]

We learn and modify, from our mistakes/problems.
This year we have started requiring our tenants to provide a Substituted Service contact when they sign their lease.
Should they take off and skip, we have their signed permission, allowing us to serve an alternate address.Something you may want to consider adding to your leases
We have already used it this year in court, with success.

All the above you mention, we do several times a year.
I'll happily take the $20 a month for 20 years...interest is added by our Sheriff.

im not sure if there is an equivalent one in Australia,

a lot of the time when the tenant takes off its usually quite sudden so by the time the PM has caught wind and passed it on to you, the damage is done and they are gone

 

[Truly Exotic]

Insurance companies only want to insure people who never make claims. How do you think they have 500,000 lazy employees?

+1 to that,

Imagine how easy it would be working in a claims centre,

every claim, all you do is auto reply to every email "Unfortunately, your claim has been denied, please contact us if you have any questions"

 

[kathryn d]

im not sure if there is an equivalent one in Australia,

a lot of the time when the tenant takes off its usually quite sudden so by the time the PM has caught wind and passed it on to you, the damage is done and they are gone

My brother is a super of a 24 unit building, and this was a form they prepared.


He gave it to us, and we adjusted it, to our business name.

You just need to 'think outside the box' as a landlord, sometimes.
We tell the tenant to name their Next of Kin (substituted service) as someone who doesn't move a lot.

 

[AlmostBob]

Most on SS have property managers, who use REI leases.

Never seen a 'my good pm' thread here​

REI leases Queensland NT are not compliant to current RTA for those states, and would be set aside if the tenant makes that request to the tribunal
Havent had to deal in other states yet, but anyone care to bet?
Landlords don't read the RTA, and suggest compliance is the pm's job.
Landlord is legally responsible for the actions of the pm and ultimately responsible for everything. PM isnt.

Leases should be written to utilise every aspect of the RTA, provide protection to the landlord, and the highest possibility of recovery of delinquent funds.
If the landlord does not protect the landlord, no-one will.
we are proactive, all ducks aligned before the tenant signs

 

[brettc]

+1 to that,

Imagine how easy it would be working in a claims centre,

every claim, all you do is auto reply to every email "Unfortunately, your claim has been denied, please contact us if you have any questions"

Of course that's far from the case, the insurance industry is so heavily regulated, legitimate claims do get paid. Naturally I can't speak for all companies but there is a very low percentage of claims denied, and far too many of them are in fact attempted fraud, or at least trying to stretch the boundaries to ridiculous levels. And then you have to consider the abuse claims people get, often from those who are trying to get more than what they should. It's a very tough area to work in.

 

[Peterw]

Not sure that I completely follow this. In Qld, the RTA have a "prescribed form" as a lease. The REIQ have received permission from the RTA, for their additional clauses.

When there is damage done, the issue then arises, does the LL have the funds to do the repairs, while we then chase the tenants. More often than not, the tenants can be found. The next question is, do they have the funds. On a few occasions with younger tenants, as we have had next of kin, being parents, they have stepped up and paid. If the funds are short, then its an insurance claim, while we go through the tribunal.

We recently had a situation where a fire, was believed to have been caused by the tenant. After the insurer paid, they asked us to provide the tenants new address. I gather they were going after them.

I appreciate that you are very hands on LL's and know what you can do. Sadly our laws are not clear, hence we get varied decisions at Tribunals, which is a pain.

At a recent hearing I was asked, where in the ACT does it say a tenant cannot pay rent in arrears. I was gobsmacked and took a half a moment to gather my thoughts for a response, and the member went on with some other rubbish, so I lost my time to respond. If you cannot quote the actual section in the ACT when you respond, you tend to be ignored.

I have found that a lot of agents, if we cannot resolve at mediation, now don't bother turning up. Not wise I think.

Most on SS have property managers, who use REI leases.

Never seen a 'my good pm' thread here​

REI leases Queensland NT are not compliant to current RTA for those states, and would be set aside if the tenant makes that request to the tribunal
Havent had to deal in other states yet, but anyone care to bet?
Landlords don't read the RTA, and suggest compliance is the pm's job.
Landlord is legally responsible for the actions of the pm and ultimately responsible for everything. PM isnt.

Leases should be written to utilise every aspect of the RTA, provide protection to the landlord, and the highest possibility of recovery of delinquent funds.
If the landlord does not protect the landlord, no-one will.
we are proactive, all ducks aligned before the tenant signs

 

[AlmostBob]

Not sure that I completely follow this. In Qld, the RTA have a "prescribed form" as a lease. The REIQ have received permission from the RTA, for their additional clauses.

When there is damage done, the issue then arises, does the LL have the funds to do the repairs, while we then chase the tenants. More often than not, the tenants can be found. The next question is, do they have the funds. On a few occasions with younger tenants, as we have had next of kin, being parents, they have stepped up and paid. If the funds are short, then its an insurance claim, while we go through the tribunal.

We recently had a situation where a fire, was believed to have been caused by the tenant. After the insurer paid, they asked us to provide the tenants new address. I gather they were going after them.

I appreciate that you are very hands on LL's and know what you can do. Sadly our laws are not clear, hence we get varied decisions at Tribunals, which is a pain.

At a recent hearing I was asked, where in the ACT does it say a tenant cannot pay rent in arrears. I was gobsmacked and took a half a moment to gather my thoughts for a response, and the member went on with some other rubbish, so I lost my time to respond. If you cannot quote the actual section in the ACT when you respond, you tend to be ignored.

I have found that a lot of agents, if we cannot resolve at mediation, now don't bother turning up. Not wise I think.

Thank you for your support

Landlords who don't know the Act; the Act is very clear, so clear that the adjudicator tends to dismiss when not immediately supported by reference. That reference in support of claim to payment should have been immediately known, if the action was about payment

Agents who don't turn up
vs
all ducks aligned

If the leases were written properly, to the Act as amended July 2014. there is nothing that can be set aside at hearings, no need for mediation, just enforcement. At hearings we are informed how much money we will collect.

S83 sets payment requirements

83 How rent to be paid
(1) The tenant must pay the rent in an approved way.[s 84]
(2) If an approved way for payment of rent is stated in the agreement, the tenant must pay the rent in the way stated.

If there is no statement of time and penalty in the lease, the REI have f- - - -d up

Landlords; align your ducks