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prashant.bhaga prashant.bhaga
1 reviews | Active since Feb 2017
08 Mar 2023, 23:53
FNB Short term insurance, great for a blocked pipe, horrible for an actual insurance claim.
FNB short term insurance is a ****. I reported that my property was vandalised and after a call with the consultant who assured me that an assessor would come out to the property to assess the damages for the claim; to date, only a plumber has come out to quote and I am now experiencing what I can only explain as being ignored. The property is vandalised, no assessor came out, no fixes have been done and my property is now standing thanks to the lack of action from FNB short term insurance.
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prashant.bhaga prashant.bhaga's updateReviewer Update
11 Mar 2023, 11:50Why you should never insure your rental properties with FNB short term insurance
Fnb was great when it came to giving me a comparative quote to get my rental properties insured on there end. The downsides only began to show when larger claims that form part of having a rental property business come into play.
At first, all blocked pipes etc (small claims) were sorted out. Then as tenants began to change I realised that issues like storm damage which caused damage to my ceilings; were rejected as a claim.
The second time I noticed ho FNB short term insurance does not understand the nature of my business was a few months later when a rental property of mines was vandalised. It had been untenanted for less than 30 days when this happened and I reported it to Fnb short term insurance agent, Thembisile Mnisi, who promptly asked me if the property had been untenanted for more than a month. I took a look and saw it had been less than a month and so all looked well on the surface and I made it clear that this was well under there 60 days property vacant rule.
The second time I noticed ho FNB short term insurance does not understand the nature of my business was a few months later when a rental property of mines was vandalised. It had been untenanted for less than 30 days when this happened and I reported it to Fnb short term insurance agent, Thembisile Mnisi, who promptly asked me if the property had been untenanted for more than a month. I took a look and saw it had been less than a month and so all looked well on the surface and I made it clear that this was well under there 60 days property vacant rule.
As a real estate investor with multiple rental properties I know that these things can happen in this country if you own rental property. I also know how important it is to have the right insurance. That’s when I began to see a trend- it had been radio silence from FNB for just under a month since I requested that claim. I escalated the issue and quickly heard back from the agent who now told me that due to the property being vacant, the claim will be rejected. In the rental property business, you know for a fact that you would have some months when you do have a property vacant while looking for a new tenant. This makes FNB short term insurance the worst insurance choice for real estate investors.
I decided to probe a bit further and ask, if a worst possible case for a rental property investor happened- a fire had to happen and the property is empty- would fnb cover the cost to rebuild the property since this was building insurance that I had with them. The answer was no. So, truly, with FNB insurance, 100% of the risk was still on me even though I had this useless insurance with them. If something damaged my income producing asset, the we would not care if it was in tenants at that moment- a great clause- a clause which was not mentioned as an exclusion during my onboarding call- a great way to hide since that’s the biggest risk for a rental property investor- a property being vacant. Cancel my building insurance cover immediately and refund the prorate amount FNB- your insurance isn't worth the paper its printed on.
Fnb are not business partners in your business. They couldn’t care less. If you have a rental property business, never insure your income producing assets with FNB. If your properties are vandalised or load shedding or cable theft causes a fire or something bad (conditions of being a rental property investor in South Africa) In your lowest month, when your property is untenanted; and you really do need the insurance cover- that’s when they’ll drop you.
I've moved to BetterSure. Someone who understands the rental property business. If you need more info as a rental property investor, reach out and I'll happily explain how your rental properties are exposed with FNB short term insurance.
I've moved to BetterSure. Someone who understands the rental property business. If you need more info as a rental property investor, reach out and I'll happily explain how your rental properties are exposed with FNB short term insurance.
pp
prashant.bhaga prashant.bhaga's update11 Mar 2023, 11:50
Reviewer Update
Why you should never insure your rental properties with FNB short term insurance
Fnb was great when it came to giving me a comparative quote to get my rental properties insured on there end. The downsides only began to show when larger claims that form part of having a rental property business come into play.
At first, all blocked pipes etc (small claims) were sorted out. Then as tenants began to change I realised that issues like storm damage which caused damage to my ceilings; were rejected as a claim.
The second time I noticed ho FNB short term insurance does not understand the nature of my business was a few months later when a rental property of mines was vandalised. It had been untenanted for less than 30 days when this happened and I reported it to Fnb short term insurance agent, Thembisile Mnisi, who promptly asked me if the property had been untenanted for more than a month. I took a look and saw it had been less than a month and so all looked well on the surface and I made it clear that this was well under there 60 days property vacant rule.
The second time I noticed ho FNB short term insurance does not understand the nature of my business was a few months later when a rental property of mines was vandalised. It had been untenanted for less than 30 days when this happened and I reported it to Fnb short term insurance agent, Thembisile Mnisi, who promptly asked me if the property had been untenanted for more than a month. I took a look and saw it had been less than a month and so all looked well on the surface and I made it clear that this was well under there 60 days property vacant rule.
As a real estate investor with multiple rental properties I know that these things can happen in this country if you own rental property. I also know how important it is to have the right insurance. That’s when I began to see a trend- it had been radio silence from FNB for just under a month since I requested that claim. I escalated the issue and quickly heard back from the agent who now told me that due to the property being vacant, the claim will be rejected. In the rental property business, you know for a fact that you would have some months when you do have a property vacant while looking for a new tenant. This makes FNB short term insurance the worst insurance choice for real estate investors.
I decided to probe a bit further and ask, if a worst possible case for a rental property investor happened- a fire had to happen and the property is empty- would fnb cover the cost to rebuild the property since this was building insurance that I had with them. The answer was no. So, truly, with FNB insurance, 100% of the risk was still on me even though I had this useless insurance with them. If something damaged my income producing asset, the we would not care if it was in tenants at that moment- a great clause- a clause which was not mentioned as an exclusion during my onboarding call- a great way to hide since that’s the biggest risk for a rental property investor- a property being vacant. Cancel my building insurance cover immediately and refund the prorate amount FNB- your insurance isn't worth the paper its printed on.
Fnb are not business partners in your business. They couldn’t care less. If you have a rental property business, never insure your income producing assets with FNB. If your properties are vandalised or load shedding or cable theft causes a fire or something bad (conditions of being a rental property investor in South Africa) In your lowest month, when your property is untenanted; and you really do need the insurance cover- that’s when they’ll drop you.
I've moved to BetterSure. Someone who understands the rental property business. If you need more info as a rental property investor, reach out and I'll happily explain how your rental properties are exposed with FNB short term insurance.
I've moved to BetterSure. Someone who understands the rental property business. If you need more info as a rental property investor, reach out and I'll happily explain how your rental properties are exposed with FNB short term insurance.