700 Units - Habitational - No Inspections? How?

insurance1822

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I have a bunch of dwelling fire business that I'm losing to Miller's Mutual who's a habitational writer in the area. It's not all mine, but Millers is taking on about 400 residential locations (of which some will be vacant / unoccupied / under renovations..) along with maybe 15 mixed hab & 15 apartment buildings that are 20 units each. Total units about 700 & the total premium is 250k.

Do you think for 250k that a carrier would just waive inspections on all these locations? They'd accept the fact that many new locations would be coming on that are vacant & requiring renovations? These organization simply DOES NOT respond to recs & it's very mismanaged. I told them it's going to be a nightmare with inspections. The property manager insisted he made it clear to the new agency that it's contingent upon no inspections.

I meen cmon how is that possible?
 
I have a bunch of dwelling fire business that I'm losing to Miller's Mutual who's a habitational writer in the area. It's not all mine, but Millers is taking on about 400 residential locations (of which some will be vacant / unoccupied / under renovations..) along with maybe 15 mixed hab & 15 apartment buildings that are 20 units each. Total units about 700 & the total premium is 250k.

Do you think for 250k that a carrier would just waive inspections on all these locations? They'd accept the fact that many new locations would be coming on that are vacant & requiring renovations? These organization simply DOES NOT respond to recs & it's very mismanaged. I told them it's going to be a nightmare with inspections. The property manager insisted he made it clear to the new agency that it's contingent upon no inspections.

I meen cmon how is that possible?


Agent probably has a good relationship with the UW and took pictures beforehand.
 
It would have taken months...we are talking about 500 locations spread across a 50 mile radius.
 
Are they all going on one policy or each location on a different policy?

If it's all on one the TIV should trigger an inspection with any carrier but separately may not be needed.

Millers Mutual is like Lititz and Westfield. Everything looks great on paper till claim time.
 
I've got a carrier that doesn't inspect and only ask for photos of 10% of the properties to get an idea of the overall risk. It blew my mind when I first heard but have written several with no issues. However, upon purchasing and adding additional properties they ALWAYS ask me for photos.
 
I didn't think Millers Mutual wrote down that way in the country. I've explored them online before and am pretty sure they aren't in Kentucky. Didn't think they were anywhere south of here either. Guess that must have changed.
 
Millers writes mainly in PA. They were taken over by a new regime of former Westfield execs about 2 to 3 years ago and have destroyed their relationships with most of the agents that used to write business with them. It is my understanding that they are trying to get away from apartments and dwellings. I am not sure about inspections, but I know they require loss runs up front. These guys are notorious for using the replacement cost penalty at the time of a claim.
 
Millers Mutual is going to be bought out by Westfield shortly IMO.

Millers combined ratio last year was 135% mostly because of underpricing the hab market... now they are writing hotels like crazy to generate premium.

How old are the properties? If all properties are newer send it to Philadelphia.

I have sent a ton of my Millers renewals to Philly because of 15+ increases.

BUT .. Philly is much more conservative on them and wont take a lot of what Millers is writing.
 
Half of the properties are easily 80 years old. What's their stance on adding new properties? Do they want photos of new properties to be added? Do they inspect each?
 
Half of the properties are easily 80 years old. What's their stance on adding new properties? Do they want photos of new properties to be added? Do they inspect each?

No they don't have a problem adding new properties or needing photos.

But 80 years old.. they will bitch and moan and probably decline.

I have gotten a few older properties written with them but they need to have been fully renovated and you need a Phase 1 environmental for them .. which they should have if they have refinanced in the past 10-15 years.

This is what killed Millers a few years ago ... older buildings.. guess not enough to learn their lesson.
 
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