No one wants to think about losing their investment because they didn’t have the right apartment building insurance coverage. But what would you do if you had a major loss and suddenly realized that your apartment building insurance didn’t have all of the coverage you needed to make you whole?
You could find yourself in this position for a number of reasons, but for the sake of this example lets assume that there is a fire at your apartment building. As a result of the fire there is damage to over half of the building.
The first thing you would have to do is move all of your existing tenants out of the building. After that you would begin the process of cleaning up and repairing the damage. As you can imagine, the expenses could start adding up pretty quickly!
- How would you pay for the ongoing expenses at your apartment building, such as the mortgage payment or utilities, when you have little or no rent coming in?
- How would you pay for the additional expenses you incur to let potential tenants know when the repairs are complete and attract new tenants to move in?
- If your building was built more than a few years ago, do you think that it would meet the building code requirements on buildings built today?
You May Not Have Coverage
It may seem hard to believe, but most standard apartment building insurance policies don’t include all the coverage you need to fully protect you in this situation. Unfortunately, most financial institutions and lenders don’t require you to have the additional coverage you need to protect you from lost revenue, required upgrades, and other costly consequences of a major loss. And what’s even worse, the insurance agent that wrote your apartment building insurance policy probably didn’t even offer you the insurance coverage that could have saved you from all these additional expenses.
How Could This Happen?
It’s not your fault that you don’t have all the coverage you need. If you’re like most people your insurance buying process went something like this.
- You called your regular insurance agent and told them you were purchasing an apartment building as an investment
- They were happy to write another policy so they took your information and got you a quote
- The quote seemed like a fair price and you already knew the agent so you went ahead and purchased the policy
The problem is, your insurance agent likely never took the time to educate you on the coverages you need. Why? Because most insurance agents are on commission and they need to sell policies. They know that the easiest way to make a sale is by giving you the lowest price. So instead of giving you the quote with the coverage that was right for you, they gave you the quote with the price that was right for them. You understandably assumed that they had your best interest at heart and the price was right so you purchased the policy. End of story.
But this story doesn’t have to be about you.
The Stonecrest Insurance Difference
At Stonecrest, we think differently about protecting our clients. We don’t just provide insurance quotes. When you begin a relationship with Stonecrest you get a trusted insurance advisor who will carefully review your insurance needs and work with you to create a custom insurance package that is right for you.
Our goal is to form lasting relationships with you, based on mutual understanding and trust. We take the time to help you understand the exposures you face, the coverages available to you, and the policy you ultimately purchase from us so that you can have the peace of mind that comes with knowing you are protected.
Get the Protection You Need
At Stonecrest, our approach to determining your ideal insurance package is a simple, yet effective 4 step process:
- We perform a diagnostic appointment with you either over the phone or in person to get to know you and gather information about your property.
- We review your current coverage to identify any gaps or unique exposures.
- We shop your coverage with our top rated carriers to find you the best value.
- We provide you with a comprehensive proposal and work together to fine tune a package that is right for your needs and your budget.