Change your mindset
If you own multiple properties, you probably have contractors on staff or that you regularly work with. Your costs are lower because you do more business with them. Why worry about a low deductible if the house is vandalized? Your crew will be able to fix most vandalism issues for a couple of thousand dollars or less.
The whole idea is to try your best to self insure, giving less money to the insurance company allowing you to benefit from ROI. You do not need to insure your rental property the same way you insure your own home.
Increasing your deductible will lower your price. As a RE Investor, you are primarily worried about big losses, total losses and the roof. These types of losses don’t come very often and when they do you have saved enough to cover the higher deductible.
Lower your property coverage. The less it is insured for the less your insurance will be. Lower to the market value or what you have a loan for. Doing this on multiple properties can and will save you money.
Obtain a commercial policy or a policy specifically designed for RE Investors. Most investors have a harder time seeing the savings here. If you have a lot of properties and have an office person, bookkeeper or maybe its just you. Either way, time is money and having one policy with the proper coverage’s will save time that will save you money, headaches and it is much easier to manage coverage’s so you will not have any gaps in coverage’s or properties not covered.
How to Increase Your ROI
