Increase in insurance

[timd354]

Do insurance companies charge based on cost to rebuild building?
Do they also consider total rent?

Whether insurance companies consider rent depends on whether your policy includes rental loss coverage.

 

[Fernando]

Get your head out you appraising as*. All the insurance company cares about is the cost and the risk factors. Them and us care not about your rich personal life.

I'm trying to figure out best way to get lowest premium.
Yes, I have to stop wearing my real estate hat. I thought it would be preferable if I called one of my unit an apartment because like loans, apartments get better terms than office buildings.
Then another mortgage broker told me it's better as an office because it doesn't have tenants cooking there.
I wondered if having most of my tenants as restaurants is considered high risk for insurers.

 

[Fernando]

My new insurance broker said the recent fires have made many insurance companies hesitant to insure here.
The wildfires never adversely affect properties in Silicon Valley.
They have stats and should know it's out in the boonies.

 

[Mark K]

If any insurance company/underwriter has been reading AF and nando's fantasy filled and factless posts, they'd be crazy to cover any of his properties, at any price.

 

[Fernando]

If any insurance company/underwriter has been reading AF and nando's fantasy filled and factless posts, they'd be crazy to cover any of his properties, at any price.

I should have put this thread in Watercooler.

 

[timd354]

I'm trying to figure out best way to get lowest premium.
Yes, I have to stop wearing my real estate hat. I thought it would be preferable if I called one of my unit an apartment because like loans, apartments get better terms than office buildings.
Then another mortgage broker told me it's better as an office because it doesn't have tenants cooking there.
I wondered if having most of my tenants as restaurants is considered high risk for insurers.

Restaurant kitchen fires are fairly common, so undoubtedly insurers would want to price for that risk.