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Tamara Said:

Can you get homeowners insurance on a home that is not occupied & will be for sale in the next few months?

We Answered:

No, what you need is a "vacant property policy".

Your best bet is going to be with Foremost Insurance - www.foremost.com . . . several companies write vacant property policies, but only Foremost will give you a pro-rata cancellation if the house sells. The others won't refund your money.

If your agent doesn't represent Foremost, you can go to their website - www.foremost.com - and find an agent near you who does.

**reading the other answers - Laughing at State Farm writing this. Standard companies will NOT write a vacant property. State Farm won't touch this. Other companies that would, would be American Standard, and Lloyds of London - but Foremost is cheaper.**

Perry Said:

Insurance Brokers Commissions and Residual incomes?

We Answered:

LOL on what planet?? If the average auto premium is $800, then you'll get about 12% straight commission - if you're an agent in someone else's agency, you keep HALF of it. Ditto on the homeowners, depending on where you live, the average homeowners premium is probably around $500 a year, commission is a bit higher - maybe 20%.

If you DON'T work for someone else, you're paying office expenses (like postage and phones), rent, and insurance for YOUR business.

Residuals are the SAME with property/casualty. But you have to RENEW the policy in order to get paid. And all those "monthly payment surcharges" are NOT included in residuals.

Erik Said:

How much should an average home insurance policy cost, for a 3 family home in Queens, NY?

We Answered:

Is the average home brick, or wood? Is it 1000 square feet, or 4000 square feet? Is it 5 years old, or 75 years old?

Your credit score ALSO has a huge impact.

When I hear "what coverage is mandatory" I cringe. That means, you think that the less coverage you have, the cheaper your policy is. This is SO not true.

Homeowners insurance is NOT mandatory. You don't have to carry it AT ALL. If you want to buy a house with a mortgage, the mortgage company will require you to carry coverage on the building - THAT'S IT.

The standard homeowners policy has SIX coverages built into it - Building, Other Structures, Contents, Loss of Use, Medical Payments, and Personal Liability. The CHEAPEST way to get the insurance to satisfy your mortgage, is a standard homeowners policy.

But there's a whole bunch of coverage you should probably consider ADDING to that, depending on your personal circumstances.

If your home is your largest investment, don't do "do it yourself" homeowners insurance. Talk to an agent, or three, and get their advice and recommendations. That way, when claim time comes around, you're not angry at the insurance company because YOU didn't know which coverages you should have asked for.

Shelly Said:

do insurance brokers get paid more?

We Answered:

Under General insurance the broker gets commission on a yearly basis for the business he places with the company. The commission rates for different lines of business might very auto insurance commission will be different from the property insurance commission.

In this case, the broker is guiding you properly - though his own personal interest of getting commission is solved but it in your interest to obtain both the coverages of auto and home with one insurer. For eg if you auto policy is $100/- per month and your home policy is 15/- for month - if you place both of them with one insurer you get 10% discount. With this - you end up with a discount of $11.50 per month, thus with an additional premium of $3.50 out of your pocket you get your home/tenant insured. It is a win win situation for all - since you transfer both your risk of auto and home, the broker gets a higher commission and the insurance company also gets more premium and clients.
Maybe, your broker has not been able to explain it correctly or he is over persuasive.

Adam Said:

If my home insurance keeps getting denied, is it legal to go to a new broker & then apply for home insurance?

We Answered:

Yes, your broker can find out you had insurance before.

They run your clue report as part of the underwriting process. This will show any claims you have filed in the past.

Also, if your house is financed - the finance company requires you have insurance. If you have a mortgage - they know you are lying.

If you lie to get a policy - and the lie is later determined to be a material misrepresentation - if you file a claim - the insurance company can deny coverage and cancel your policy.

There is nothing wrong with talking to another broker. Talk to a couple of brokers and see who can get you the best deal. But I don't recommend you lie about it. That can come back to bite you in the fanny pretty hard.