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Insurance policy covers loss of rent up to $5000

Discussion in 'Property Management' started by Kai41314, 6th Oct, 2015.

  1. Kai41314

    Kai41314 Well-Known Member

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    Hi,

    I am with Suncorp landlord insurance and they only cover loss of rent (tenant default) up to $5000. Is $5000 enough?
     
  2. D.T.

    D.T. Adelaide Property Manager Business Member

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    It's odd that they specify a dollar amount, most other insurers specify a number of weeks. What's the weekly rental on your property? If it's say $500 then that's 10 weeks, or $250 20 weeks etc.

    For default of rent EBM cover 6 weeks, but cover up to 52 weeks for a whole bunch of other types (theft, damage, death of tenant, fire/storm, denial/prevention of access).
     
  3. Scott No Mates

    Scott No Mates Well-Known Member

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    Geez, $5k would barely cover a couple of week on some places yet will be 10+ weeks elsewhere.
     
  4. Richard Williams

    Richard Williams Buyers Agent - Southeast QLD Business Member

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    NRMA same at 5k, doesnt sound great either.
     
  5. Kai41314

    Kai41314 Well-Known Member

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    http://www.suncorp.com.au/insurance/sites/default/files/fm/pdf/landlord-insurance-pds.pdf

    See page 29. Should I choose Terri Scheer next time?

     
  6. D.T.

    D.T. Adelaide Property Manager Business Member

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  7. Kai41314

    Kai41314 Well-Known Member

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    I am considering to buy Terri Scheer ($309) on top of Suncrop (Building and Landlord combined for $1200). If something bad happens, can I make claims to both?
     
  8. chunho01

    chunho01 Member

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    I am considering a switch from ANZ Landlord Insurance too. I recently made a rent default claim with ANZ:
    It only covered up to $5,000 like Suncorp, and only up to 2 weeks after the tenant has vacated.
    Ie. if it was vacant for two months, I only claimed whatever tenant owed me plus two weeks rent after they left.....so out of pocket for more than a month there.
    I am looking into EBM and Terri Scheer now. Does EBM's 6 weeks include the amount owing? Or it is '6 weeks from tenant vacate + amount owing'?
     
  9. Kael

    Kael Well-Known Member

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    Wait... Why would you get two landlord insurances? (Terri Scheer + Suncorp)
     
  10. Lil Skater

    Lil Skater Well-Known Member Business Member

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    EBM!

    I had a brand new client come on board and met the insurance assessor - they're not only not covering a heap of the loss of rent, but only the singular hole in one wall is covered under their policy. Quite literally out of pocket thousands. Look for things like accidental damage, excess payments (is it excess on the total claim, or per event) and of course level of cover.
     
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  11. brettc

    brettc Well-Known Member Business Plus Member

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    No you can't, you can't profit from an insurance claim. The situation you could have here is two Insurer's arguing over who will pay the claim. If it's a defined event to the building it would be Suncorp's responsibility, but anything tenant related or contents (carpets etc.) related is in fact being covered by both policies.

    You can have a straight defined risks (fire, storm etc.) building policy with one, and a landlord policy with another, but it is generally more logical to have a policy that encompasses both to eliminate the question mark, as long as it provides all the cover you require of course.
     
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  12. mja

    mja Well-Known Member

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    +1 to not doubling up on policies.