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Small Cabin Forum / Properties / Insurance
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Diya
Member
# Posted: 14 Oct 2021 03:02
Reply 


Hi
I'm looking for a broker in the North Bay area.
I just bought a property (vacant land and small cabin) and I would like to add insurance.
Looking for recommendations.
Thanks

Tim_Ohio
Member
# Posted: 14 Oct 2021 08:31
Reply 


A lot of times, if you own a home, you can get an umbrella policy that covers liability on everything, including the property. As for the cabin, if it is not high dollar, self insure it with your own money. Or, I should say, don't insure it and fix it yourself if something goes wrong. As for personal property, if you have something really expensive there, like a high dollar tractor, then you can get an inland marine attachment on your investment which will cover it for theft. Insurance is a tough one, since the potential for a loss needs to be in the high dollar range before it is worth it. Now, of course, if you borrowed money from a lender and they require you insure it to basically protect them, then you will have to have it.
This is my opinion, by the way. I'm not an insurance guru. I basically described the way I had to do it.

Tim
Ohio

gcrank1
Member
# Posted: 14 Oct 2021 10:48
Reply 


A 'rider' added to my homeowners policy covers us for liability as well as theft and vandalism, but not the structure for fire loss, etc. It was really low cost.

Diya
Member
# Posted: 14 Oct 2021 11:42
Reply 


Quoting: Tim_Ohio
A lot of times, if you own a home, you can get an umbrella policy that covers liability on everything, including the property. As for the cabin, if it is not high dollar, self insure it with your own money. Or, I should say, don't insure it and fix it yourself if something goes wrong. As for personal property, if you have something really expensive there, like a high dollar tractor, then you can get an inland marine attachment on your investment which will cover it for theft. Insurance is a tough one, since the potential for a loss needs to be in the high dollar range before it is worth it. Now, of course, if you borrowed money from a lender and they require you insure it to basically protect them, then you will have to have it.
This is my opinion, by the way. I'm not an insurance guru. I basically described the way I had to do it.

Tim

Hi thanks
I'm closing on the property tomorrow. I took a small loan from a private lender who requires that I get insurance 😩
I have a property which is covered by Intact insurance but they said they don't cover insurance for small cabins

WILL1E
Moderator
# Posted: 14 Oct 2021 11:51
Reply 


What sort of loan did you take out? Was it a mortgage based on the small cabin or was it a recreational land loan? Most lenders won't do the mortgage unless the cabin is habitable as a home (water, sewer and electric). Therefor if it's not a mortgage, you probably only need to insure the land to satisfy their need for coverage.

Like Tim, they (State Farm) added the land onto my primary residence policy. When i told them i was building they created a separate policy for the cabin with an adder of builders insurance which covers the structure until it's completed.

Diya
Member
# Posted: 14 Oct 2021 12:51
Reply 


It was a small mortgage (land and cabin) from a private lender.
To release the loan I have to get insurance.
My insurance is from the city and they (Intact) said that they don't do small cabins and mortgage from private lenders.
I have been shopping around. No luck yet

Thanks for sharing
I'm in Ontario

Diya
Member
# Posted: 14 Oct 2021 12:55
Reply 


The lender might waive the clause... I'm keeping my finger crossed ✌️

Diya
Member
# Posted: 14 Oct 2021 17:03
Reply 


If anyone can recommend a reasonable insurance company please let me know
Thanks

FishHog
Member
# Posted: 14 Oct 2021 18:16
Reply 


State Farm covered my place near Sudbury for a reasonable price

Diya
Member
# Posted: 15 Oct 2021 06:38 - Edited by: Diya
Reply 


Quoting: FishHog
State Farm covered my place near Sudbury for a reasonable price

Thanks will try.πŸ™

The good news, the lender gave me the loan. But the insurance clause is still pending. So I'm able to close today πŸ˜€πŸŒΏπŸ‘πŸ‘Œ

toyota_mdt_tech
Member
# Posted: 15 Oct 2021 08:00
Reply 


DIYA, are you looking for insurance to cover the cabin and yourself or just protect yourself from lawsuits?

I have a policy from a Woodland owners Association (in the US) that is to protect me from lawsuits if someone gets hurt on my property, nothing more. Very reasonable, not sure if there is an association in Canada that is similar. Mine was the NWOA

I see they have made adds for equipment ie ATV etc. So might be able to get a storage building with contents in it (a cabin not finalized for habitation)

KelVarnsen
Member
# Posted: 15 Oct 2021 08:20
Reply 


Quoting: Diya
I have a property which is covered by Intact insurance but they said they don't cover insurance for small cabins


I'm in Ontario. My home is covered by Intact and I have my small, off grid, cabin included in my policy.

Diya
Member
# Posted: 15 Oct 2021 12:34
Reply 


Quoting: KelVarnsen


I'm in Ontario. My home is covered by Intact and I have my small, off grid, cabin included in my policy.


😳😳😳
I was told that by the broker.
If you don’t mind can you recommend me a broker thanks

Diya
Member
# Posted: 15 Oct 2021 12:36 - Edited by: Diya
Reply 


Quoting: toyota_mdt_tech
DIYA, are you looking for insurance to cover the cabin and yourself or just protect yourself from lawsuits?

I have a policy from a Woodland owners Association (in the US) that is to protect me from lawsuits if someone gets hurt on my property, nothing more. Very reasonable, not sure if there is an association in Canada that is similar. Mine was the NWOA

I see they have made adds for equipment ie ATV etc. So might be able to get a storage building with contents in it (a cabin not finalized for habitation)

No, I don’t care for the insurance but because I took a small loan from a private lender they require I get insurance. It is one of the clause.
I’m closing today
Fingers crossed as I’m nervous 😬

Houska
Member
# Posted: 15 Oct 2021 17:50
Reply 


This is heavily jurisdiction-dependent.

In Ontario, liability insurance is generally extended automatically to *fully vacant* property from your (primary) homeowner's policy (though of course be sure to check!).

If there is a structure on it, you have to get a separate policy.

If the structure is either minimal and you can claim it is not really habitable, just an "outbuilding". And you don't care to insure the value of the structure, just liability, many insurers will write such a policy. Easiest to go with your home insurer.

If it's a full, built-to-code, on the grid secondary residence, you will have no trouble getting a secondary residence homeowners policy, and paying for it accordingly.

The trouble is in the middle, with a small, "semi-habitable" off the grid cabin. Where you want a bit of coverage but not much. Some people have reported success with the a rider to their primary policy, some with a separate policy same insurer. In our case, our insurer couldn't see a way to make it happen.

In that case, consult an agent in your area familiar with rural properties. We got coverage with Co-operators. Since you're in a hurry, I'll share our agent was Paul Spinelli in Perth, but I suspect you'll have better luck with a local agent in North Bay.

KelVarnsen
Member
# Posted: 17 Oct 2021 12:21
Reply 


Quoting: Diya
If you don’t mind can you recommend me a broker


https://www.disfinancialgroup.com/

Diya
Member
# Posted: 18 Oct 2021 12:48
Reply 


Thank you, will try those πŸ™πŸ‘

TranquilMan
Member
# Posted: 21 Oct 2021 16:28
Reply 


I'm in an unincorporated area of NW Ontario. I just found out on renewal that my insurer no longer covers damage from bear break-in. I have been fortunate to have had only one bear break-in over 28 seasons. Fortunately, the noise of my arrival scared him off before he did too much damage - just a small window and quite a mess. It's a 2 beer story. Good idea to read the fine print. Now I take more precautions.
TranquilMan

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