Why is adding additional SFRs (single family residence) to a single general liability policy potentially a costly mistake for the investor?

Assuming you purchase a general liability policy with a one million dollar limit based on one SFR (single-family residence) investment property, and over the course of the next year, you add four additional single-family investment homes, your actual exposure to a third-party liability claim would be significantly higher with five homes.

In addition, while a policy limit of one million is adequate for one home, if you experienced a large claim at one location, then your policy limit will erode, and it’s likely that it won’t be adequate protection against future claims.

What our clients say

I love Arcana. When I need insurance, REIAsure helps me get it done right away. I just put in the amounts I need, pay, and print. No inspections or pictures, even if vacant or rehabbing. No red tape… just coverage. – Anna Mills, Toledo REIA