Posted on: 14th Jul, 2009 10:30 pm
I recently got refinacing. The problem is that the loaner ask me to have home insurance that cover up to $490,000 for house damage even though it costs $370,000 to rebuild the entire house. When I ask for this to the insurance company. they say I don't need that much coverage because of the house value. After these two guys talked to each other, Now have to pay $800 more for the coverage that I don't need. I know the home insurance company is very close business partner to the loaner. am I being set up?
chulheekim
Welcoemto the forum
This does not look right
Probably can you shop aroudn find a different insurance compnay
Good luck
Welcoemto the forum
This does not look right
Probably can you shop aroudn find a different insurance compnay
Good luck
Hi chulheekim,
You have mentioned that the insurance company had told you that you do not need such a huge amount of insurance as the property value is lower than that amount. In that case, you can ask the insurance company as to why they are charging $800 extra. If they cannot give you a satisfactory answer, you can always look around for other insurance companies.
You have mentioned that the insurance company had told you that you do not need such a huge amount of insurance as the property value is lower than that amount. In that case, you can ask the insurance company as to why they are charging $800 extra. If they cannot give you a satisfactory answer, you can always look around for other insurance companies.
very convoluted thread here - independent insurance company suddenly in cahoots with the lender, formerly suggesting additional coverage wasn't needed, but now providing it after conferring with said lender. something is awry, but it's nearly impossible to determine what that something is.
MOST lenders only require coverage of the estimated cost new on a home. But SOME do require you to cover the loan amt, so when you refi'ed was your loan amt near the coverage you are paying?
wow(again)
just curious to know if this thing got resolved yet - chulheekim, have you any news for us?