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Finding companies that will insure trust properties

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Digger54

Member
What is the name of your state? Florida.

Hi;

My father set up his property, house and finances in a trust that would provide for my handicap brother. My father recently passed and the insurance company that he had a policy with advised that since the property is no longer owner occupied that the policy is no longer valid. They said their company does not issue policies on non owner occupied dwellings but they could refer me to some companies that do but first a 4 point inspection would be required. The property is badly overgrown and the 57 year old house has seen better days so I am worried about trust eating expenses to get the house and property up to today's codes.

I am the trustee of the trust and looking for a condo/apt for the trust to purchase and move my brother to since the house and property are too much for him to deal with. Seems like I am on a double edge sword since the existing property and the future property will be owned by the trust, managed by the current trustee (me) and occupied by the trust beneficiary (my brother). I live out of state so I will not reside in either. Until I get the existing property sold I will be making frequent trips there so it might be considered my 2nd home; not sure what the criteria would be on that.

The attorney who drew up the trust and has been helpful with other subject matter has a full plate so I may need to seek the services of another attorney. Is there a type of attorney who specializes in helping trusts acquire insurance?

Who can I turn to for help with acquiring insurance for the above situation, with liability insurance being at the forefront?
 


adjusterjack

Senior Member
You don't need an attorney to find insurance, you need an independent insurance agent who represents many insurance companies including those that insure high risk properties.

You'll pay more for the insurance than just a regular homeowners policy but you'll be able to get the insurance. You may have to pretty up the property a bit but shouldn't take too much money to get the grass mowed and trees/bushes trimmed, maybe a quick coat of pain on the outside and remove debris and junk from the yard.
 

Digger54

Member
You don't need an attorney to find insurance, you need an independent insurance agent who represents many insurance companies including those that insure high risk properties.

You'll pay more for the insurance than just a regular homeowners policy but you'll be able to get the insurance. You may have to pretty up the property a bit but shouldn't take too much money to get the grass mowed and trees/bushes trimmed, maybe a quick coat of pain on the outside and remove debris and junk from the yard.
Thank you. Already got the yard done and the jungle off the house. Still working on the hoarded items inside. Will look for an independent insurance agent in the central Florida area.
 

xylene

Senior Member
You may need to be honest with yourself that this property in its unoccupied and delapidated state may really be uninsurable. Another issue to consider carrefully is the unoccupied home is at risk of squatters and derelicts coming in and trashing the place, copper thieving, making meth, shooting gallery, etc.

I bluntly think you are being penny wise pound foolish by allowing the property to persist in a deteriorated and untennantable state. This says nothing of the frequent and serious natural hazard risks that beset Florida...
 

Digger54

Member
You may need to be honest with yourself that this property in its unoccupied and delapidated state may really be uninsurable. Another issue to consider carrefully is the unoccupied home is at risk of squatters and derelicts coming in and trashing the place, copper thieving, making meth, shooting gallery, etc.

I bluntly think you are being penny wise pound foolish by allowing the property to persist in a deteriorated and untennantable state. This says nothing of the frequent and serious natural hazard risks that beset Florida...
I never said the property is unoccupied, the insurance company labeled it as non owner occupied since the trustee (my father) passed away. My handicap brother (trust beneficiary) lives there and has daytime aides that assist him.

Not sure where you are getting the perception that I'm allowing it to persist in a deteriorated condition; if you see my response to adjusterjack posted before your response you will see where I posted that I am working on it. Between tree service companies and handyman contractors my biggest challenge is finding ones that will show up and perform their contract when they say they will.

Additionally I feel as if the insurance industry is forcing me into a catch 22. In order to work on the property so that I can get an insurance policy (liability being the greatest need) I have to bring in outside help in the form of contractors hoping that I don't get sued if they get hurt while working on the house.
 

xylene

Senior Member
My handicap brother (trust beneficiary) lives there and has daytime aides that assist him.
These facts are not discernible from any of your previous posts.

I do stand by my assessment, whatever the reason, that the house may not currently be up to the underwriting standards of the shrinking pool of insurers who write policies in Florida (uninsurable)

That said, I wish you nothing but good will and glad tidings in getting this resolved. I can imagine it is a stressful position.
 

Zigner

Senior Member, Non-Attorney
How is title to the property presently held? Is the property actually already owned by the trust, or is it going to be transferred to the trust after his death? It sounds like the property has been in the trust all along, so I don't understand what the insurance company is even telling you. There has been no change in ownership, so why does the question even come up?
 

Digger54

Member
How is title to the property presently held? Is the property actually already owned by the trust, or is it going to be transferred to the trust after his death? It sounds like the property has been in the trust all along, so I don't understand what the insurance company is even telling you. There has been no change in ownership, so why does the question even come up?
I have not seen the title yet as I have yet to find it in the house full of ...stuff. The attorney who did the trust is working on getting me a copy. When the property is found with zilla it lists it as a trust. My father made two hurricane damage claims (2016 and 2017) so I'm guessing the company is anxious to kick us to the curb.
 

Zigner

Senior Member, Non-Attorney
It just seems really strange - the "owner" is (and has been) the trust. The trust still exists, so there is no change...
How did they find out he passed?
 

Digger54

Member
It just seems really strange - the "owner" is (and has been) the trust. The trust still exists, so there is no change...
How did they find out he passed?
Not knowing the repercussions I did when I inquired about having my father's car titled under the trust but insuring the two aides who care for my brother to save them from having to use their own cars to shuttle him around. My father used the same company for auto insurance.
 

Digger54

Member
I came across one of the old policies. It lists the name of my father as insured. It lists the address as property. It lists the name of the trust as interested party.
 

Digger54

Member
Just rec'd the cancellation notice from the insurance company. They are not as heartless as I thought they were going to be as they have given us 4 months as long as premiums are paid. That gives me breathing room to work on the property without the added headache of immediately moving my brother.
 
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