Terri Scheer 2020 premium increase

Side question - are you guys paying for building insurance only? $400ish for landlord cover that covers rent default, does that include building insurance? If not, what are you guys using for building insurance?

I pay EBM approx $1.1k pa for rent default and building cover.

 

I had increases on some but also decreases on some for building insurances (BI). have also combined policy discounts having LL and BI for property.
I just slightly decrease SI to pay what I wish..... or you can change excesses...
You see it really depends on number of IPs, let's say you have more than 10 IPs than I prefer to have higher excesses as it seems unlikely I will have claims on all IPs at the same time...
So logic and strategy can be used to vary based upon what you need or want from your insurer.

 

Terri Scheer have now lifted their embargo and are offering new landlord policies including rent default (except in Victoria unfortunately). However the policy premiums in NSW have increased from $399 previously to $519 based on the quote I just got today.

 

what a rip off! can do much better elsewhere, unless the townhouses have higher risk factors

 

We received a renewal notice from EBM last week for one of our IPs (all with EBM). Premium was $300.

 

try allianz
the most expensive of my quotes is around $1450 including LL, and thats with claims
EBM is about $350 for LLs as well

 

My EBM renewal just came in for Slacks Creek. It’s up $90 from an $1150 policy for both building and LL.

Judging by this thread, it looks like I’m on the luckier side.

 

It sucks to do it but I reckon every 3 years or so, put a date in your calendar to shop around for a new insurer. Loyalty's worth nothing these days.

 

I'm confused why companies like EBM are excluding tenant damage as well as loss of rent from new policies. I get the rent exclusion due to COVID-19, but why exclude damage? What's the point in having a policy?

 

Who's the policy meant to really benefit? Answer that question and you'll have your answer.

 

Well it's not benefiting EBM because I'm not buying a policy that's useless for me.

 

Unfortunately a lot of people don't read the fine print and pay the price come claim time. Guilty as charged despite my experience as an investor.

 

I better cancel my life insurance because I haven’t claimed on it in over 40 years now .

How useless it that?

On a serious note, I would be a lot happier to pay for insurance policies (life, building, car, landlord, ...) if they could guarantee that I would never have (a reason) to submit a claim once I paid the premium .

That would be a very useful policy .

 

I thought life insurance policies were a form of investment as they pay dividends?. I know many rich Chinese love them. Some even just buy a policy and live off the dividends rather than start a company. I don't know a lot about this type of investment but its huge here

 

Not sure if this is what you are referring to, however I think this is whole life insurance which is no longer available in Australia since the advent of Superannuation. It's popular in the US too .... they call it infinite banking I think (?). It's of dubious usefulness when you look the fine print ..... sort of 1/2 life insurance and 1/2 investment fund.

 

I spoke to a underwriter I know....Apparently insrers embargoed policies as they needed to determine what the claims experience and risks could be. They seem to have indntified a risk that some risks have increased for
1. Future loss of income and inability to pay rent
2. Social iimpacts and evictions with higher than normal "damage" claims and payout

yes premiums will be higher. New policies may exclude or may limit some cover. renewals may have higher excesses for some events and higher premiums. Each are reviewing as they go it seems