New Insurance Co. Demanding 3 Liability Policies on One Property.

[cheyennein]

I own a large piece of land with 3 dwellings all on one deed. The dwellings are on the main road spaced 20 feet apart. One is my primary residence & the other 2 are rentals. My old Insurance Co. covered liability under the primary residence policy $500,000......NOW...... My new Insurance Co. is making me pay for a $500,000 liability policy on each dwelling.....IMHO I am paying for 2 liability policies that are worthless.....Is this legal ? I know It's unethical at the least........I'm in N.Y.

 

[Accelerated]

Re: New Insurance Co. Demanding 3 Liability Policieson One Property.

I own a large piece of land with 3 dwellings all on one deed. The dwellings are on the main road spaced 20 feet apart. One is my primary residence & the other 2 are rentals. My old Insurance Co. covered liability under the primary residence policy $500,000......NOW...... My new Insurance Co. is making me pay for a $500,000 liability policy on each dwelling.....IMHO I am paying for 2 liability policies that are worthless.....Is this legal ? I know It's unethical at the least........I'm in N.Y.

Do you have separate amounts of defined structural coverage for each dwelling? Why should liability be any different? How is it "unethical" for an insurance company to decide they do not wish to absorb triple the risk for the cost of a single risk?

 

[djs]

Go back to your old insurance company.
You probably paid for the liability coverage anyway, just the way it was shown on the dec page was different. You can get blanket liability, covering them all, with some carriers, but it isn't necessarily less expensive, in fact, it will likely be more.

Nothing unethical about it, you just need to look at the risk correctly..

Dan

 

[cheyennein]

Re: New Insurance Co. Demanding 3 Liability Policieson One Property.

Do you have separate amounts of defined structural coverage for each dwelling? Why should liability be any different? How is it "unethical" for an insurance company to decide they do not wish to absorb triple the risk for the cost of a single risk?

I don't see where It's triple the risk. If something were to happen it would only go to the limit of the policy. If it went above that the other 2 policies would not cover it. So this is why I say 2 of the policies are worthless. Yes! all structures have separate structural policies.
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Go back to your old insurance company.
You probably paid for the liability coverage anyway, just the way it was shown on the dec page was different. You can get blanket liability, covering them all, with some carriers, but it isn't necessarily less expensive, in fact, it will likely be more.

Nothing unethical about it, you just need to look at the risk correctly..

Dan

My old Co. would not renew my primary policy but wanted to keep the other 2 My old primary policy was $500,000 liability covering everything. The new Co. is 3 liability policies for $500,000 each. My old bill per year was $871.00 my new bill is $ 2,597.59 How am I looking at it incorrectly.

 

[Accelerated]

Re: New Insurance Co. Demanding 3 Liability Policieson One Property.

I don't see where It's triple the risk. If something were to happen it would only go to the limit of the policy. If it went above that the other 2 policies would not cover it. So this is why I say 2 of the policies are worthless. Yes! all structures have separate structural policies.

All three dwelling have occupants, correct? That means that the liability side of your policy is indeed triple the risk. Now there are three houses at which one can trip over a rock or a discarded Camaro, break a leg (or worse) and sue you (and your insurance company) for damages and lost wages, and, depending on the state, pain and suffering.
You have three houses, which means triple the visitors, be they friends, family or the UPS guy. There is indeed triple the risk, and regardless of it "only going to the limit of the policy" if something were to happen, the carrier still has triple the potential of something occurring, compared to if it were a single dwelling with a single set of occupants and the associated traffic.

It looks to me like you got a good deal for a long time. Be happy you saved so much over the years.

 

[djs]

To be honest, the liability portion of the bill is usually less than $100 for the year, even with 3 that would be $300 of the total bill.

This isn't what caused your bill to go up triple. The fact your primary residence was non-renewed is the big factor. Whatever caused that is likely the cause of the higher premium.

Dan
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Ooops, landlord liability. Figure $500 max for liability coverage on the 3 policies. I might be speaking out of turn, I'm using policies I have written as a reference. I don't write in CT, it might be different there.

Dan

 

[cheyennein]

Re: New Insurance Co. Demanding 3 Liability Policieson One Property.

All three dwelling have occupants, correct? That means that the liability side of your policy is indeed triple the risk. Now there are three houses at which one can trip over a rock or a discarded Camaro, break a leg (or worse) and sue you (and your insurance company) for damages and lost wages, and, depending on the state, pain and suffering.
You have three houses, which means triple the visitors, be they friends, family or the UPS guy. There is indeed triple the risk, and regardless of it "only going to the limit of the policy" if something were to happen, the carrier still has triple the potential of something occurring, compared to if it were a single dwelling with a single set of occupants and the associated traffic.

It looks to me like you got a good deal for a long time. Be happy you saved so much over the years.

I agree with everything your saying.... BUT....Wouldn't you agree that one policy would cover all occurances.......Appearence is everything.......
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To be honest, the liability portion of the bill is usually less than $100 for the year, even with 3 that would be $300 of the total bill.

This isn't what caused your bill to go up triple. The fact your primary residence was non-renewed is the big factor. Whatever caused that is likely the cause of the higher premium.

Dan
- - - - - - - - - - - - - - - - - -
Ooops, landlord liability. Figure $500 max for liability coverage on the 3 policies. I might be speaking out of turn, I'm using policies I have written as a reference. I don't write in CT, it might be different there.

Dan

My previous Co. was growing at the rate of 25% a year, so the State stepped in & said you can't finacially back the growth rate so they started shedding customers for any reason they could...

 

[djs]

Re: New Insurance Co. Demanding 3 Liability Policieson One Property.

My previous Co. was growing at the rate of 25% a year, so the State stepped in & said you can't finacially back the growth rate so they started shedding customers for any reason they could...

This tends to happen when they significantly underprice their coverages to 'buy' marketshare. They usually stop writing new policies and then work to non-renew high risk policies.

What confuses me is you say they would take 2 but not the 3rd. I'm not sure if you meant for all coverages or just for liability or ???? With that statement, there appears to be a bit more than meets the eye....

Dan

 

[cheyennein]

Re: New Insurance Co. Demanding 3 Liability Policieson One Property.

This tends to happen when they significantly underprice their coverages to 'buy' marketshare. They usually stop writing new policies and then work to non-renew high risk policies.

What confuses me is you say they would take 2 but not the 3rd. I'm not sure if you meant for all coverages or just for liability or ???? With that statement, there appears to be a bit more than meets the eye....

Dan

They would not renew the primary residence policy which had the liability coverage for the entire property.... But wanted to keep the 2 dwelling policies that did not have liability coverage.......

 

[Accelerated]

Re: New Insurance Co. Demanding 3 Liability Policieson One Property.

I agree with everything your saying.... BUT....Wouldn't you agree that one policy would cover all occurances.......Appearence is everything.......

Are all three dwellings still on the single policy?
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What confuses me is you say they would take 2 but not the 3rd. I'm not sure if you meant for all coverages or just for liability or ???? With that statement, there appears to be a bit more than meets the eye....

Dan

Maybe the dwellings display deferred maintenance and the underwriter is only willing to take so much risk.