I am trying to quote

Submitted by Naomi Zammit on Tue, 06/17/2008 - 17:03

I am trying to quote a policy for a client who owns and lives in a duplex, but rents out the other side. What policy form do I use to write this?
Thank you.

Posted: 17 Jun 2008 07:56 Post Subject:

I'm an adjuster not an agent but what about a homeowners policy (H0-2?) as he owns the home. This would cover the building, the owners personal property as well as liability. I see no difference then if the home owner had a roommate that paid rent.

Posted: 17 Jun 2008 08:54 Post Subject:

I see no difference then if the home owner had a roommate that paid rent.

It's not a room mate t, (if I understand it) it's a duplex...I think he's gonna need something that insure's that side as a dwelling only and some type of landlords liability as well. And of course and HO on his own side...

Posted: 18 Jun 2008 11:43 Post Subject:

I'd think an HO-2 would provide dwelling coverage for the entire building even though it's divided into two living spaces as it's still one building but I could be wrong about this. I highly doubt two policies would be needed. I don't see that any special landlord liability policy is needed as an HO policy would provide this type of liability coverage anyway.

Posted: 18 Jun 2008 12:07 Post Subject:

highly doubt two policies would be needed. I don't see that any special landlord liability policy is needed as an HO policy would provide this type of liability coverage anyway.

I don't think it would have to be two policys...also (and I could be wrong it's been awhile since I handled these 'types' of claims) I think the standard HO policy excludes liablity for type of tenants, (that the insured charges or is paid a fee for their occupancy)...When I had rental property I had a 'dwelling' (or then it was a b450 I think) policy with 'landlords' liability endorcment....covered me for anything that could happen to my tenants due to my negligence...

Posted: 18 Jun 2008 12:09 Post Subject:

Exludes liability coverage to the insured for injuries to tenents?

Posted: 18 Jun 2008 12:14 Post Subject:

Exludes liability coverage to the insured for injuries to tenents?

I think that the standard HO (owner occupied) policy excludes any liability (that the insured would/could be held liable for) for any 'tenants'....like (for instance) how it excludes liability (or even medpay too for that matter) for a resident of the household...same type of exclusion.

Posted: 18 Jun 2008 12:21 Post Subject:

Agreed... but I see no reason (nor any policy) why a landlord would want to extend liability coverage _to_ a tenant. That is, the landlord would not need to cover the tenant for the tenants negligent actions. The landlord only needs to protect his/her property and have coverage for his/her own liability. Just a an apartment complex owner is not going to provide liability coverage to their renters.

Posted: 18 Jun 2008 12:31 Post Subject:

That is, the landlord would not need to cover the tenant for the tenants negligent actions.

agreed..

The landlord only needs to protect his/her property and have coverage for his/her own liability

Right, liability protection for the ins/landlord against or for anything that the insured landlord could be found negligent for regarding a tenant...like that post we had were the landlord had a bad step or something and the tenant fell and was injured...that landlord was negligent, and thus liable for the injuries to that tenant...I'll look and see if I can find that old policy/endorcement...Most (or all) standard HO policys exclude liability coverage (meaning collecting under that coverage) for a resident of the household/building right? The tenant is an occupant or resident of the building...so unless there is something other than the standard HO policy, I think there might be an issue...I just know that I had this endorcement on my rental, (actually I think it was required when it's a non-owner occupied dwelling here or with the company I was insured with one or the other)....and handled several claims (again YEARS ago)...with tenants falling etc....course they had this landlords liability coverage...am I making any sense at all? If you had a standard HO policy, and the 'tenant' tripped and fell would there be ANY coverage? medpay or liability? see I think it's excluded, as a resident and also as a tenant...what do you think?

Posted: 23 Sep 2008 12:51 Post Subject:

HO for the side she lives in. Landlord for the tenant's side.

Posted: 23 Sep 2008 08:14 Post Subject:

I would think a HO policy will cover the whole building. Just make sure that if it is two addresses that both are recorded and the Building RC is for the whole building - not just one unit.

And it is always good advice for a landlord to insist that tenant's have a tenant's insurance policy. That covers the tenants contents and legal liability.

Posted: 23 Sep 2008 08:18 Post Subject:

Technically, the best way to do it would to rate the home as a "multi-family" home. At least, we have that option - and would probably do it that way. The tenants personal belongings would not be covered as they are not listed on the poicy. They would still have to get a renter's policy.

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