da20captain
Member
Just build a 40x50 enclosed. Who would y’all Recommend for insurance.?
Pole barn/Shop Insurance
- Thread starter da20captain
- Start date
dmcintosh
Well-known member
After I built mine a few years ago I reached out to my home owners insurance company. My coverage through that policy covered my shop with what I thought was a reasonable amount of coverage. Are you looking for commercial insurance or just general liability? Is your shop located at your residence? Might start there.
billconner
Well-known member
Ditto to dmcintosh. If just personal, not a business, and on property with home, just tell your agent. In fact, my agent said if I built a cabin or whatever on a rural property we own, it's covered if we tell her. And at no cost were covered for liability on that second property.
Tacked it onto my house insurance. I don't even think I can do it separate from my house because its property/title centric.
Less and less insurance vendors, they keep merging into larger firms. I find the hassle of switching to be more trouble than the few $$ potentially saved. Next year you're automatically back with the same company and the old (higher) premium
I went in an complained a little about my premium this year... they shaved $200 off almost without blinking.
Less and less insurance vendors, they keep merging into larger firms. I find the hassle of switching to be more trouble than the few $$ potentially saved. Next year you're automatically back with the same company and the old (higher) premium
I went in an complained a little about my premium this year... they shaved $200 off almost without blinking.
sgf13
Well-known member
It is usually cheaper if you have everything on one policy. When we moved to our rural home with acreage our company we had for over 15 years home insurance in town kicked us to the curb with nothing more than a we can't insure a log home. No discussion...done. We went to Farm Bureau without issue. They cover the house, 30'x80' open sides pole barn, 50'x50' shop, a few pieces of non-commercial equipment and our vehicles. They have been terrific to deal with. Our agent is great which is obviously a factor but we have been with the company 15 years with great service.
finn
Well-known member
My shop is about a mile from the house by road, and maybe half that the way the crow flies.
My SF agent wrote a rider to cover it under my homeowners policy, although I think it might be billed separately. (The spousal unit pays the bills. She says I’m not qualified).
I’ve had it for maybe eight or so years, and no issues. Did a walk through with the agent when I bought it. It’s not a commercial shop, just a 48x75 with heat and water, along with a bathroom and mall office/ break room.
My SF agent wrote a rider to cover it under my homeowners policy, although I think it might be billed separately. (The spousal unit pays the bills. She says I’m not qualified).
I’ve had it for maybe eight or so years, and no issues. Did a walk through with the agent when I bought it. It’s not a commercial shop, just a 48x75 with heat and water, along with a bathroom and mall office/ break room.
OP
da20captain
Member
Any particular companies to look into? We only have the pole barn on the land. Our plan is to live in the camper hon the same property) for a while while we build a house. Any suggestions appreciated.
racecougar
Well-known member
Just like everyone else, I bundled mine into my homeowners policy.
I'd look at whatever insurance companies service your area (we have no idea where you are).
I'd look at whatever insurance companies service your area (we have no idea where you are).
mike93lx
ALLIANCE MEMBER
Contact a local agent and have them get bids from several carriers
You should get a local agent for this .... depending on location you may not find many willing to cover this type of building w/o it being a commercial policy. My guess is that will be the only way ,,,
Commercial -- is not "I have a business there" ...... When you are building a house the coverage is "commercial". If you have a business in the building ... make sure you tell the agent.
Without a house there, it may complicate things. Be weary of classification as 'recreational property'. It may actually cost you more because it precludes the idea that you're away from the place more than you're there - which has an inherent risk.
You can try AAA (BCAA for me) for home insurance. Dunno what they offer in your area.
Make sure they see the structure…cause they can claim that you built it without their knowledge. A friend got screwed by Allstate on this.
I made my insurer come out and inspect the entire property. Got separate rider for the shop/garage Because of it’s value. Didn’t cost that much but I specifically wanted it called put in the policy.
I made my insurer come out and inspect the entire property. Got separate rider for the shop/garage Because of it’s value. Didn’t cost that much but I specifically wanted it called put in the policy.
Who do you have for auto insurance ? Homeowners now or renter's now ?
I would try to stay with same company and get a multiple policy discount.
Yep it'll be commercial. It'll have higher rates then normal unitl you build a house then it becomes an accessory building under a regular policy. Try your regular agent but also try a few insurance brokers and you'll find one that'll know exactly how to handle it.
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Nutria
Well-known member
Other things to consider: replacement value coverage, particularly for contents, and coverage for code upgrades. And most companies have an upgrade available that will pay for 20%, 50%, whatever, above appraised value. The latter can be important after some kind of natural disaster, because the resulting demand surge in the community can drive prices sky high.
tdkkart
Well-known member
Be careful with the "it's covered" statements from your homeowner's policy, you may be surprised at exactly how much it's covered for.
In our case, State Farm covers "accessory" buildings for just 10%, in total, of what the home is covered for, so if you policy lists your home at $300,000, the total of your accessory building coverage is only $30,000 for the structures, contents are covered under homeowners coverage. I added a rider to raise mine to $75,000, I believe it's less than $100/yr.
In our case, State Farm covers "accessory" buildings for just 10%, in total, of what the home is covered for, so if you policy lists your home at $300,000, the total of your accessory building coverage is only $30,000 for the structures, contents are covered under homeowners coverage. I added a rider to raise mine to $75,000, I believe it's less than $100/yr.
finn
Well-known member
Your friend didn’t get screwed over by Allstate.
He screwed himself by not being honest with his carrier, then got burned when he needed coverage that he failed to buy and pay for.
This is what I always tell people. So many think -- well, if they don't know. Hello !! .... it's not covered.
Buying insurance is all about the first dollar -- you are paying for the basic policy. All the upgrades that save you when something happens are cheap. Also -- some insurance companies have more history with some types of people and properties. A company that insures farms may not be the best to insure an urban property. Some companies don't like rentals. Plain, simple life w/ normal house and car is normally safe to go with a mass market company ..... old victorian with big ornate garage ... best not.
Have kids -- ask how they pay for outside living expenses.
Even vacant land has to be properly insured. Example for liability -- I have various thing going on w/ insurance at each .. every one is listed on my personal property insurance so my primary policy and excess insurance will cover it as well.
Insurance companies don't like "odd" -- especially with any constructing going on w/ non conforming living.
I'm not mentioning it, specifically. Mine got their hackles up because i called it a 'shop' instead of a garage. They're itching to class you into something commercial at a higher premium.
I'll just increase the insured value as I add more value (interior finishing, more equipment/tools, etc).
just your life insurance ;;]
For those with metal roofs and/or metal siding check how your insurance company covers these things. Our home policy says that metal roofs will only be covered for hail or other what the policy says are "cosmetic" damages if the hail (or whatever else) has penetrated through the metal. Just dents are not covered. We don't have a metal roof so its not important to us but I would sure hate to have a metal pole building all dented up by hail and which was not covered. You may want to consider extra coverage to pay for non-penetrating damage.
stripedbass
Member
I built a new detached shop/garage this past year in MA and my local insurance agent asked if it was going to have a lift. When I said yes, it did not seem to be a major factor or an issue for him. He simply increased my outbuilding coverage and said that was all that was needed.
I don't have any life insurance and have not for 20+ years. Just no need.
I know better than to call it a shop because then everybody leaps to the idea that it's a business and a commercial property.
I did bring up the fact that I have over $50K+ in tools but the insurance guy said no problem we will have total limits well above that so no need to list it separately.
They did want to know about guns and/or jewelry but the dollar amounts were far above what we own of those items.
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I know better than to call it a shop because then everybody leaps to the idea that it's a business and a commercial property.
I did bring up the fact that I have over $50K+ in tools but the insurance guy said no problem we will have total limits well above that so no need to list it separately.
They did want to know about guns and/or jewelry but the dollar amounts were far above what we own of those items.
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Homebody
Well-known member
Good point. Could you imagine the size of hail it would take to actually penetrate that roofing?
We had hail hit the South side of the barn in my avatar pic years ago. Not penetrating - just lots and lots of dents. Hardly visible unless you really look at it and only faces a field so I asked the agent if we could use the money elsewhere. Says sure but you can't file another hail claim on the South side of that barn. Took the money and put 16 new windows in the old farmhouse instead.
You only get what something is worth ... If an item is worth more than it's replacement value you need to have that itemized.
Also -- replacement value is a confusing term.
Some policies will only give you current value of an item and that will be much less ... you will not be able to replace. Even a policy that says "replacement" will only normally pay full value -- if you actually replace the item. They pay that amount ....
It's a rare policy that will cut you a check for the full current value of an item. Most will only give you 80% with documentation. Chubb allows full value cash out and they do the work for you.
As to the tools ..... make sure there is no limits with the tools. A mistake people make it to assume that the contents limit is available for all the items in the house or garage. It is typically not ... read the policy. Most will have a limit for cash .. most have a limit for furs and Jewelry. Same with tools ... make sure. It's easy enough to list and now your are sure the limit is there.
I use this example often. Say you have 5 rugs in the house and each is worth $5k = $25k of rugs. With house values so high today -- "content coverage" is a percentage of overall house value. Most people have plenty of contents coverage. People will think .... I have 400k of contents coverage. No way do I have that in my house. Read the policy ..... often you will see something like; "We will pay up to $1500 per rug item for a max of $5000" . You get $5K for your 25k of rugs ...
Guns can be like watches. I have a watch that is worth less than it would cost to replace if I wanted to buy a new replacement and I have another that is worth way more than it's current replacement. How do you make sure you get "full" value for each ?
That can work out ... there is clear damage and diminished value. It would be interesting if you ever had a leak.Good point. Could you imagine the size of hail it would take to actually penetrate that roofing?
We had hail hit the South side of the barn in my avatar pic years ago. Not penetrating - just lots and lots of dents. Hardly visible unless you really look at it and only faces a field so I asked the agent if we could use the money elsewhere. Says sure but you can't file another hail claim on the South side of that barn. Took the money and put 16 new windows in the old farmhouse instead.
One thing that often does happen in these cases -- you get an estimate. It may or may not be the full cost of the fix -- you only know if you do the fix. Insurance companies are being cheap and picky -- they low ball on some damage. Same with doing partial fixes. On big disasters they don't want to risk bad press and often they can't take the time -- so people do better.