Orlando Insurance Experts Help to Get Best Premiums
Many homeowners need to take a look at their policies when they decide to rent out their home. A homeowner’s policy must be converted to a landlord policy to cover the basic damage that could happen with renters. Separately, tenants should get renter’s insurance to safeguard personal belongings.
It is best to speak with a knowledgeable Orlando home insurance agent about the coverage choices that are available. Deductibles will most likely be modified and coverage limits will come into play too. Landlord policies can cover just one home, or if more investment real estate is purchased, policies can be created for insuring two or more condos, homes, or duplexes.
“The biggest factor you’ll want to consider is what you want your policy to do for you should a claim happen,” said Lee Rogers of www.floridainsurance.com.
Landlords can choose from named peril policies that will cover specific, major losses such as fire, explosion, or wind. Or a comprehensive policy can cover all types of accidental losses, unless excluded from the policy. Optional coverage can also compensate for liability, detached structures, theft, loss of rent, personal property, vandalism, and malicious mischief.
“And when it comes to settling a claim, you’ll want to know ahead of time how you will receive the monies to take care of any issue,” Rogers said.
An actual cash settlement will pay for the current value of the property, which equals the replacement cost minus depreciation costs. This type of policy will have lower premiums but could also leave a landlord paying some money out of pocket. Conversely, the replacement cost method pays the amount needed to replace the property with a new one of like kind and quality. This type will have higher premiums, but gives better peace of mind that a landlord will receive adequate monies when a claim is made. Both are subject to deductibles and coverage limits.
“Some companies offer big discounts for higher deductibles, and a landlord can qualify for other discounts depending on how the home is built,” Rogers stated. “It is smart to find an agent that will review your policy every year, as changes can happen when a landlord makes improvements or changes happen in the housing market.”
To learn more call 1.888.525.2210 visit http://www.floridainsurance.com