Rental Property Insurance for Investors

Rental and Investment Property Insurance Answers with Tyler Hampton of Verity Insurance Group

Tyler Hampton, insurance professional and owner of Verity Insurance Group, currently serves customers in Oklahoma and Texas. Verity Insurance Group and Avenue Legal Group have overlapping clientele bases as both companies work with real estate investors and professionals everyday.

Here are some of the most frequently asked questions about property insurance – especially rental properties or investment properties – from Avenue Legal Group clients:

There are many insurance carriers who no longer insure investment properties which are rented to tenants. Are you still able to cover these properties?

Yes! We are an independent brokerage and we’ve been strategic with our partnerships. We partner with providers who specifically offer insurance solutions for real estate investors. This approach has allowed us to ensure great and affordable coverage for our clients, even as some carriers have tightened their underwriting criteria or exited this market altogether.

How long does the insurance quote and underwriting process take for a new customer?

For individual, one-off properties, we can have quotes back the same day, sometimes even within minutes. For larger portfolios, the process may take upwards of a couple business days to ensure we thoroughly assess and secure the best coverage options.

Do you offer investment property insurance for residential properties, commercial properties, and industrial properties?

As of now, we focus exclusively on residential investment properties. However, we’re growing quickly and see commercial and industrial property coverage in our near future. Expanding into those markets is an exciting part of our plan, so stay tuned!

Can you insure our entire portfolio of properties?

Yes! We can insure a portfolio of residential properties, no matter how large.

Is there any way to obtain specific insurance for risky real estate situations, such as a fix-and-flip or short term rental?

Yes! Along with long-term rental properties, we offer insurance solutions for both fix-and-flip projects and short-term rentals.

Can you insure the business side of our real estate investment company? Do you have general liability or business owners policy (BOP) options?

Yes! While we don’t advertise it as much, we do offer general liability policies and business owners policies (BOP) for all types of companies. We especially enjoy helping contractors in the real estate space, as we share a similar clientele.

What are some of the most common pieces of advice that you give customers when they are insuring investment properties?

One of the most common questions I get from clients is about the balance between deductibles and premiums. For example, is it worth saving 25% or more on your policy by switching to a provider with a higher deductible, such as $5,000 with 5% on wind and hail? The truth is, it all comes down to your personal risk tolerance.

Do you prefer to pay more in premium to feel secure knowing less will come out of your pocket if something goes wrong? Or would you rather save money on your premium, with the understanding that you might pay more out of pocket if something happens?

My advice is: The only sure thing that comes out of your pocket is the premium. So, I recommend saving as much as possible by opting for a higher deductible. While it’s important to plan for potential out-of-pocket expenses, I’ve found that saving on the premium typically benefits my investors in the long run, as they rarely need to make a claim.

How can people contact Verity Insurance Group to obtain quotes or coverage?

Anyone can contact us by call or text (405-519-1697), email (info@verityinsurancegroup.com), Facebook at Verity Insurance Group, or visit www.verityinsurancegroup.com. We provide free quotes, typically the same day you reach out!

Contact Avenue Legal Group anytime for more information.