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Remote investment insurance

insurance? How to insure ourselves with a remote investment Recently someone contacted me to help her find a renovation contractor because the offers she received were very high .. What is the connection between the sentence in the previous line and insurance? Good question! The connection is that that nice lady did not insure the properties in her possession (held 6 properties) and the properties were damaged in a tropical storm / hurricane… If she had done the insurances she would…

Responses

  1. Hi Alon Sumagin, be careful to ask the contractor to take out insurance that covers his employees and with third party coverage for you. Note that the contractor is licensed and works with PERMITS, note the amount of the deductible in your insurance, note that there are conditions for activating the insurance if you worked with authorized or unlicensed parties, check what happens if you finished a project before the policy time and received a refund for the remainder of the unused insurance period, you Must understand that insurance works according to cases and not only according to results. That is, REPLACEMENT COST, you need to understand in which cases you will receive it. This is where the coverage categories of DP1, DP2 and DP3 come in. Ask the insurance agent for the 3 levels of coverage and compare the differences, for flip projects the house is empty, note that this is mentioned and covered in your policy compared to occupied houses, specifically equal depending on the location Make sure there is coverage for vandalism or burglary . Search on Google, there are quite a few forums where Israeli investors say that they flipped and how they fell in a variety of different ways. There is a lot to learn from this, especially for Project Flip, I only say this because there are quite a few investors who mistakenly think that the insurance protects against losing, this is absolutely not true. Again, remember that the insurance is valid according to cases and not according to results. There is an example recently, I'm not mistaken, here in the forum of a flip investor that the project went wrong because of the contractor's work. This is a good example of the limitations and the difficulty of spending money from insurance on a project that does not succeed.