A recent case of water damage reminds me of the importance of landlord protection insurance.
We recommended our clients take the insurance however to save a little money, the client said he’d take it next financial year. Two weeks before the insurance was to start, the property’s fire sprinkler burst flooding the apartment and causing tens of thousands in damages.
Had this client taken landlord insurance, the damage to his property would have been covered and the loss of rent caused by the unlivable premises would also be covered.
May we suggest that you take landlord insurance to protect your investment?
I believe it’s an essential part of a long term investment strategy. It can take years to acquire an investment property, but only one event for it to turn into a disaster!
A full year’s insurance generally costs $280-$400 and provides peace of mind for unforeseen disasters. Personally, I always take out landlord protection insurance when I settle on a property. You’ve just got to protect your down side.
Landlord insurance should be an essential part of you investment plan. If you don’t have insurance you are putting yourself and your property at risk!
You choose any supplier you wish and organise it with them directly, or ask us to do it for you, just protect yourself with it. We’ve found some insurance companies very difficult when it comes time to making a claim, however EBM has been great in terms of what they cover you for and also ease of claim. Here’s a snapshot of what they cover:
• Damage to your property caused by tenants
• Damage to your contents (such as carpets, curtains) by fire, storm and water damage
• Loss of rent by tenants default or breaking lease
• Theft by tenants
• Public liability from injury on your property
• Legal expenses and professional fees
Landlord Insurance is peace of mind, there may be unforeseen problems with your property and insurance means you can rest easy, and know that you’re covered if the worst should happen.
If you already have it, great! You’re a smart investor!
If you would like us to organise insurance for you contact Patricia at [email protected] or call 02 9260 7127. She’ll arrange EMB to provide you with one month free.
Here’s to your smooth running investments in 2017. Let this financial year be one with good capital growth for you. Cheers.
Dream big, Invest smart.