QLD How much do you insure for?

Discussion in 'Property Management' started by Jmillar, 21st Apr, 2020.

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  1. Jmillar

    Jmillar Well-Known Member

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    How much would you insure a 3bdr house in Logan for? I have most of mine insured for $300k but I built a full turn key dual key (5 beds, 3 bath, 2 car) for $265k so I think $300k might be overkill.

    What does everyone else insure theirs for?

    I'm thinking $250k would cut it....

    Thoughts? Suggestions?
     
    Jmillar, 21st Apr, 2020
    #1
  2. ashish1137

    ashish1137 Well-Known Member

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    Add 30k to 50k for knowckdown and other miscellaneous costs. I believe you have insured right.

    Also, bank gives a certain minimum value as well. Check what your valuation was. Would you mind sharing your inclusion and builder name? (if not too much of a concern)?

    Regards
     
    ashish1137, 21st Apr, 2020
    #2
  3. wylie

    wylie Moderator Staff Member

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    Some policies include 20% on top of the insured amount for knock down and block clearing without having to add it to the price insured. Check each time you get a quote.
     
    wylie, 21st Apr, 2020
    #3
  4. Beano

    Beano Well-Known Member

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    What is the land worth ?
    What is the property worth?
    What is the max loss you could take without stress ?
    Do you have any debt on the property?
    What does the loan document say about the insurance ?
     
    Beano, 21st Apr, 2020
    #4
  5. Jmillar

    Jmillar Well-Known Member

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    For most of them the land is worth around $220-240k.
    Property worth $300-310k
    Would like to ensure any losses are covered by insurance
    Yes, LVRs of around 70% on most
    Not sure what loan says about insurance, will need to check
     
    Jmillar, 22nd Apr, 2020
    #5
  6. Beano

    Beano Well-Known Member

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    So a loss of $60k ($300k-$240k) in the event of a total loss ... could you accept that?
    Remember insurance company have a lot of overheads and still make a profit on your premium
     
    Beano, 22nd Apr, 2020
    #6
  7. Jmillar

    Jmillar Well-Known Member

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    You've lost me there. I'm not intending on not insuring, I'm just questioning how much I should insure for.

    I'm thinking that insuring for $250k should be enough to cover demolition and re build of a 3bed house in Logan given I built a dual key for $265k.
     
    Jmillar, 22nd Apr, 2020
    #7
  8. Beano

    Beano Well-Known Member

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    I would insure for $60k
     
    Beano, 22nd Apr, 2020
    #8
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