Who has LL insurance?

Not personal injury, thats what you need to be careful of. There are people who will take advantage of every situation unethically.

 

Terri Scheer are not offering it at the moment either, however EBM have advised they will still offer it via their distributers.

This is an interesting one because professionally I definitely recommend LL insurance to cover potential loss, however personally I have always self-insured over the last 20 years due to the number of policies I would need. That is until a few weeks ago, when I took out a bunch of EBM policies. With the 60 days initial discount & multi policy (and $20 commission they pay distributers) it actually really made sense in the current environment.

 

Sorry, I should have been clearer.

I should have said “As Suncorp owns Terri Scheer, I would have thought existing Suncorp LL customers would have be referred to Terri Scheer if they wanted to change their policies “.

My guiding principle with all insurance is:

“If you can’t afford to lose it, you can afford to insure it”.​

Over the years, our property portfolio was negatively geared (at times, seriously NG).

Maintaining cashflow was critical. Loss of rent, damage caused by tenants, etc could have caused severe financial pain.

Annual premiums were around $300 per property or less than $1 per day.

After the tax deduction, this works out to around 50c. So the premium for 10 IPs was the equivalent of a cup of coffee a day.

A no brainer for me .

 

Its a good approach and totally makes sense.

For me personally, 10 yrs of insurance for 10 properties would be approx $30k in premiums, I would have claimed 3-4 times over these years but calculate my overall loss at about $14-15k.

 

We have one with Teri Sheer and one with EBM - Both have Building insurance and LLInsurance components

 

I agree, this is the big one. I had a tenant walk through a glass door and hurt himself badly. From what I was told he was lucky to live. Having LL insurance took a lot of the stress away.

 

Is that after tax?

 

Both figures are pre-tax, the premiums and the loss are tax deductible, but yes need the funds around in case 3 properties go wrong in one year (even if then nothing happens for the next 10).

 

Haven’t even checked what I bought. Maybe I should

 

Hindsight is wonderful and not paying the insurance has been financially beneficial in your case. There's also plenty of times when $5-$10k losses happen in the first 12 months.