If you have spent time evaluating deals in the multifamily space or have underwrote enough deals, you may have realized the insurance costs have dramatically increased over the past several years. If you're not careful or lack the proper due diligence, the unexpected costs of a new insurance premium on a multifamily asset can negatively impact your overall revenue which in turn will negatively impact your overall returns.
But…Insurance is an absolute necessity in securing and protecting your asset and investment. Having the right insurance coverage for your asset is well worth the money spent and will help you "sleep better at night."
Our guest today is Will Bandujo, Commercial Insurance Broker with Fitzpatrick Insurance Solutions. In our conversation, we discuss the various types of coverages necessary to properly insure an asset, things like fire insurance, liability coverage, and windstorm & hail insurance are just the basic policies you must have.
However, there are other types of coverages to consider. Lenders may require additional umbrella liability insurance to be added onto the policy. Other types of coverages you want to consider is loss of income insurance, assault and battery insurance, and firearm exclusions are just to name a few.
Not having the right insurance coverage can leave you, the business owner, very vulnerable and could lead to quite costly expenses or unrecoverable circumstances. When conducting your due diligence, make sure to contact your insurance broker to help guide you as to the correct coverage and pricing in order for you to make a better informed decision.
To connect with Will, follow him on Facebook or LinkedIn, email him at [email protected] or contact him at 210-667-8755.
Tune in next time!
