Yikes, a flood!

[meldresler]

I'm in Virginia.

I rent out an upscale condominium about 20 miles away. I just had a call that the pipes burst in the unit above, the water came down into my unit (that I'm renting), ruined the carpet (3 weeks old!), ruined the tenants' new bed, and the ceiling might collapse. The unit is thus uninhabitable for now.

My realtor lives down the hallway and said it will mainly be covered by the building's policy. BTW, I have the world's nicest tenant who just moved in January 1st.

Questions:

o what should I anticipate in terms of what the building's policy will cover or not cover? (drywall, ceiling, carpet, bed?)
o what are the issues for my own insurance policy?
o do I need to reduce the rent for time in which the unit is uninhabitable?

Note: the tenant did not yet have a renter's policy.

Thank you!

 

[FarmerJ]

Your tenants personal belongings would have been covered by renters ins . the damage to your unit , If your policy isnt just a home owners and they know you rent it out .If you make a claim to them they will deal with the other ins co most likely . if the unit is declared condemned by a city inspections unit you would have to follow your states laws about returning the deposit . Has the tenant allready said just what they would like to do ? If they want out then plan on returning the deposit and pro rating the balance of the month rent back to them . if they want to stay on with you and negotiate with you on what to do with the rent while the unit is being worked on you certainly can do that in writting so it wont come back and bite you .

 

[meldresler]

Thanks FarmerJ! The tenant is a commuter - he has a home out of state and lives in the unit during the week (it is across the street from his office). He had a good attitude about the whole thing and said he could work in his home office while the work is being done. I called my insurance company and filed an initial "claim" and the adjusters are calling tomorrow. They said he should save all of his receipts and didn't preclude the possibility that his bed and other items would be covered. They do know it's a rental but I haven't looked over the policy in detail lately. The woman on the phone kept saying he should save receipts, say for a hotel room, etc., and should save any damaged items for the inspectors to peruse, but kept using a phrase like "not that I can assure they would be reimbursed or covered".

 

[FarmerJ]

For now then dont plan on your ins doing a thing for the renter . Normally policys for rentals will only cover the LLs structural components and mechanicals . Glad to hear that you and tenant seem to be able to work things out so you wont lose each other .