Real estate investors Archives - L & M Insurance Group

If you own investment properties, it’s time to be sure they’re prepared for the summer storm season. Central Florida summer weather patterns include winds, rain, and possible flooding, hurricanes and tornadoes! Fortunately, preparing your real estate investments for extreme weather doesn’t have to be complicated. Here are some tips:

Double check building and landscape maintenance

Even though you keep your properties maintained year round, there are few areas you should check and repair as necessary before the heart of the summer storm season. These include roofs, doors, windows, and foundations. Look for damaged or missing shingles, cracks, gaps, or other areas where water could get in, since keeping water out is one of the most crucial aspects of preparation.

Check grading around foundations to be sure water flows away from your property.

Remove dead trees and branches, as well as any limbs that might fall and damage structures or injure someone. Keep trees and other landscape plants trimmed so they are wind-resistant.

Make sure gutters and downspouts are securely attached and clear of debris.

Consider installing impact windows or hurricane shutters.

(Click here for a Summer Maintenance Checklist, courtesy of REInsurePro.)

Touch base with your tenants

Your tenants will have their own plans to protect themselves and their belongings, but it doesn’t hurt to remind them that you’ll need to work together to minimize a weather event’s damage and disruption. Make sure you both know who to call and have up-to-date contact information in case of emergency.

Update your insurance coverage

Review your insurance coverage at least once a year to make sure it still meets your needs. Remember, you must buy flood insurance separately from your other dwelling policies.

Note: If you need flood coverage, L & M Insurance Group represents several private insurers that do not have a 30-day waiting period like the National Flood Insurance Program does. Give us a call at 813-672-4100 for a flood insurance quote.

After the storm

Take photos or videos of damage. Prevent further damage to property after a loss by boarding up broken windows—this also keeps out vandals and thieves. Cover a damaged roof with a tarp, and be sure to report claims in a timely fashion. If you need to make temporary repairs, save the receipts.

Watch out for scams. Unfortunately, some unscrupulous people will try to take advantage of those who have just suffered a loss. If what they’re saying sounds too good to be true, or they’re using high-pressure tactics to convince you to do something, be suspicious. Call your L & M Insurance Group agent or your property insurance company directly if you need help.

Property insurance questions?

The insurance experts at L & M Insurance Group would love to answer your property insurance questions and provide you with the insurance coverage you need! Just give us a call at 813-672-4100, or contact us online. We’ve been serving our neighbors in the Tampa Bay area for more than 30 years.

L & M Insurance

L & M Insurance Group is an Independent Insurance Agency based in Riverview, Florida. We can shop, compare and recommend the home, auto, commercial or life insurance policy that’s best suited for you, your family or your business. Call 813-672-4100 or visit landminsurancegroup.com for more information.

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What Kind of Insurance do you need as a Real Estate Investor and other Insurance Help to protect your real estate investment

As a real estate investor, you have specialized needs when it comes to insuring investment properties. You may have multiple properties, some of which may be vacant. And those properties may be titled in the name of an individual, an LLC, a corporation, or a land trust. Insurance for real estate investors is different than insurance for home owners. You may have questions about which type of policy to buy, and what it covers.

L & M Insurance Group has extensive experience helping real estate investors with their unique insurance needs. On March 3, L & M’s president, Mark Holley, along with colleague Larry Johnson, made a presentation to the general meeting of the Suncoast Real Estate Investors Association (SREIA) covering several points of interest to real estate investors. Here is some key information from the presentation:

DP3 vs. DP1 policies

The DP3 and DP1 policies are two types of tenant-occupied policies that real estate investors should consider. Typically, the DP1 form only covers named perils that are listed on the policy, including fire, smoke, wind, hail, lightning, explosion, and so on. DP3 policies cover all perils except those that are specifically excluded in the policy documents. Basically, the DP3 form is for property owners who want a tenant-occupied policy with all the bells and whistles. If you need to save money, or are interested in assuming more risk yourself, choose the DP1 form. Be sure to talk to your agent about what is included and what isn’t, so you can get the policy you need.

Builder’s risk vs. vacant dwelling

Builder’s risk provides insurance coverage for either residential or commercial buildings under construction or renovation. Vacant dwelling covers a dwelling that is unoccupied.

One thing to remember is that the liability coverage included on a builder’s risk policy doesn’t cover exposure to claims related to renovation, so the people you hire should carry general liability and list you on their policy as an additional insured.

4 point inspections and wind mitigation reports

If you own a home or rental property older than 30-40 years, a homeowners company may require a 4 point inspection before they’ll sell you a policy. A 4 point inspection looks at the four main systems of the property: the roof, the plumbing system, the HVAC system, and the electrical system. These inspections generally cost between $75-$100, and are good for three years. If the inspection reveals something unacceptable to the underwriting rules of the insurance company, they may decline to cover you. You may then choose to fix the problem(s), or try another insurance company. Your independent L & M Insurance Group agent can help you determine which company will be most likely to cover your property.

Even if the insurance company will write the policy, certain things will cause premiums to be higher, including aluminum wiring, an old or patched roof, and plumbing or heating/cooling systems that have not been kept updated.

Wind mitigation reports tell us about your roof, and what credits can be applied to your policy. The inspector will examine and report on your roof’s covering, roof deck and roof wall attachment, roof geometry (hip, flat, or other), secondary water resistance, and opening protection.

In addition to certain physical features that cause your premiums to be higher, certain situations may also increase the cost of your insurance. These include lapses in coverage, short-term rentals, and property being held in a land trust or a land trust with multiple entities.

Our partnership with you

L & M Insurance Group’s goal is to write your real estate investment insurance policy for the best price with a company that will pay your claim if you have one. That’s one of the reasons we need full and accurate information about your properties when we’re quoting your policy. You can help us by answering our questions truthfully and fully. We have markets that will write almost any kind of situation, but we need to know certain details in order to place your policy with a company that is right for you.

Have questions? Please give us a call at 813-672-4100, and let L & M Insurance Group help you protect your real estate investments.

Are you sheltering in place due to the COVID-19 coronavirus? We can serve your insurance needs without seeing you in person! Please call us at 813-672-4100 or email us by clicking here if you need an insurance quote, have to make a claim, or have any questions about your insurance needs. We also have a live chat feature on our website.

Our office is temporarily closed to the public in order for us to follow social distancing guidelines and protect the health of our employees and customers. If you need to make a cash payment, please call our office at 813-672-4100 for instructions.