Insurance is an essential part of life. It helps to protect people and property in the event of an accident or a disaster. However, it can often be difficult to know what types of insurance are needed, how much insurance to get, and where to turn with questions. Below are several types of insurance, along with tips on choosing the right insurance agency – one that provides the best insurance at good prices.
Real Estate Owned Insurance in Colorado
This is a special type of insurance that lenders, trustees, investors, and servicers can get for properties in deed, in lien, or that are in foreclosure. This type of coverage could be used for real estate that has been foreclosed upon, including land, townhomes, detached houses, and condos. It could also be used for vacant homes or homes that are currently occupied by tenants. As with other types of coverage, the deductible ranges often vary.
Real estate owned insurance protects the property. Typically, policies will cover a range of scenarios such as fire, wind, hail, lightning, vandalism, and premises coverage. However, it will not cover theft. It is important to keep in mind that, like other insurance policies, different carriers will have their own distinct coverage. These types of coverages could include hazards, general liability, etc.
Landlord Protection Insurance in Colorado
Tenant occupied insurance in Denver is important for real estate investors to have, as well. If they will be renting out a home, they will want to be sure that they have this special type of insurance. Typically, there will be two different types of coverage in the policy. It is important to know and understand what each of these two types of coverage provides.
First, there is property protection for the landlords. This type of insurance provides coverage for the physical property that is being rented by a tenant. The property coverage will be for the physical home if there is damage that needs repair or replacement. It would include damage caused by wind, lightning, and fire, for example. It would not cover floods or earthquakes.
The coverage will include more than just the dwelling, and this is where it differs from standard dwelling insurance. Landlord protection insurance in Denver also covers the equipment and tools used to maintain the rental, as well as additional structures.
Some of the items that might be considered as part of the equipment stored at the property include lawn mowers and snow blowers. The caveat is that the items covered must be used in the service and maintenance of the rental property. The policy would not include miscellaneous items left at the property. The additional structures that would be covered include detached garages, fences, and sheds.
The cost for the insurance, along with the limits and deductibles, will vary from one provider to the next. When choosing this type of coverage, it is important to consider these factors to be sure the best insurance is chosen.
The next type of coverage that falls under landlord protection insurance in Denver is liability. Liability protection will cover legal expenses and medical bills if someone is injured on the rental property and the landlord is found to be at fault for the injury. This is an important part of tenant-occupied insurance in Denver, as it helps protect the property owners and their assets in the event of an accident on the rental property.
If someone were to slip and fall and have an injury, the landlord could be blamed for neglect. Faulty stair railings, broken floorboards, etc., would likely mean that the landlord is to blame. This is the type of damage that should be fixed to ensure the home is safe for those occupying the space. If the landlord does not have liability coverage, they would have to pay all of the expenses out of pocket.
Insurance Doesn’t Cover Everything
Owners need to know that even with great insurance, some things will not be covered. This would include shared property, equipment breakdowns, and maintenance for the equipment. If the landlord includes a washer and dryer in the home, for example, insurance will not cover it if it breaks down. The owner would be responsible for the repair or replacement.
Additionally, the insurance doesn’t cover items that belong to the tenant. Tenants should choose to buy a renter’s insurance policy to ensure their items have coverage. This will help them to get items replaced if they have been damaged in a fire, for example. In some cases, landlords might require that the tenant show proof that they have renter’s insurance.
Choose an Independent Insurance Agent
Often, people choose an insurance provider based solely on branding without truly looking into what the company can offer. This could turn out to be a costly mistake, though. When going directly to a single provider for insurance without taking the time to sort through all of the options, owners could be paying far more for their property insurance than they should. They may also not have as much coverage as they think, or they may have more than they truly need.
Instead, it tends to be a better option to work with an independent insurance agent. The agents that have familiarity with the type of coverage needed, as well as the local area, can help to ensure that the best coverage is found.
They can sort through all of the different options that are available from a range of carriers and present homeowners with the best solutions for their needs. It tends to be more efficient, and it could help to save money. Whether looking for landlord protection insurance in Denver or real estate owner insurance in Colorado’s other areas, consider working with an independent agent.
These are just a few of the most common types of insurance on the market. It’s important to have a full understanding of the coverage involved before making a decision to purchase any type of insurance policy. Given all of the options available, it makes sense for property owners to work with a qualified agent to find the right type of coverage for each situation – and an ample amount of it, too.