State Farm

Liability Insurance: How Much is Enough?

2021-03-01T22:02:27+00:00March 1st, 2021|Newsletter, State Farm|

The liability limits on the owner’s/landlord’s insurance policy are perhaps the most important part of the overall insurance package. This is where you do not want to just ‘check a box’ and say, “Liability Insurance – Yes I’ve Got That!” This is where everyone needs to look at the policy limit and decide if that [...]

The Umbrella Policy

2020-12-28T18:20:16+00:00December 28th, 2020|Newsletter, State Farm|

NOT IN-EXPENSIVE and NOT THE ‘MAGIC ANSWER’ Too many people think they know what an “Umbrella Policy” is and how it works. Unfortunately many people, including investors, property managers, and real estate agents, do not have a clear and correct understanding. What is an “Umbrella” policy? It is NOT one policy that combines several separate [...]

In Arizona Investors Always Insure for Rebuild Cost, Not Market Value

2020-10-31T02:47:06+00:00October 30th, 2020|Insurance, Newsletter, State Farm|

In Arizona, residential investors and home-owners always insure for the cost to-rebuild. The vast majority of residential homes are newer, and by insuring for cost to re-build, the owner knows that there is enough insurance coverage to replace the house with a new one if something really bad happens. The “Parable of the Twins”: Brad [...]

Insurance Advice for Procrastinators

2020-09-01T15:57:14+00:00September 1st, 2020|Newsletter, State Farm|

( READ THIS NOW . . . NOT LATER ) Procrastinators have insurance problems in two areas: (1) buying an insurance policy, and (2) switching to a better insurance policy. Most investors ‘leverage’ their money by using a mortgage when they buy a rental property. And because every mortgage lender requires insurance, it is almost [...]

The “Co-Insurance Clause” or “Why You Should Probably Insure Your Property For 100% of Cost to Rebuild”

2020-07-06T20:45:24+00:00July 6th, 2020|Newsletter, State Farm|

by Clark Sanchez, State Farm Many property insurance policies contain a “co-insurance” clause or requirement. Sometimes this is also referred to as a policy with a “co-insurance penalty.” A co-insurance provision requires that the property owner insure the building to at least a specified percentage of the replacement cost of that building. . .typically 80%, [...]

Loss of Rents! What is Covered? How it Works.

2020-05-09T20:02:49+00:00May 9th, 2020|State Farm|

By Clark Sanchez, State Farm Insurance Most landlord insurance policies include some type of “Loss Of Rents” coverage. Now would probably be a good time to review this coverage and when and how it applies. The standard loss of rents coverage is triggered by a valid insurance claim that makes it impossible or very inconvenient [...]