When renting a property, most people tend to sign up for the fire insurance provided by the real estate agency. However, it is important to note that you can choose your own fire insurance policy.
The average cost of the insurance provided by real estate agencies is around 20,000 yen for a two-year contract. However, if you search for and sign up for fire insurance yourself, you can get coverage for less than half that amount. Moreover, the coverage offered may be more extensive.
While it may make sense for real estate agencies to offer this kind of proposal from a business standpoint, it's not acceptable for them to offer expensive insurance with limited coverage or low protection limits. Nevertheless, fire insurance is mandatory, and it can be quite challenging to search for the best option by yourself.
We have provided some recommended fire insurance policies in the following article, and you can sign up for them yourself.
Many people forget to apply for a refund of their fire insurance premiums when they move out of a property. However, you can easily do so with a single phone call. The amount of the refund will depend on the remaining period of your contract.
●Refund rates for the remaining period of a two-year contract are as follows:
・1.5 years – 71%
・1 year – 47%
・1年→47%
・6 months – 24%/b>
●For example, if your two-year contract has a premium of 20,000 yen, the refund amount for the remaining period would be as follows:
・1.5 years – 14,200 yen
・1 year – 9,400 yen
・6 months – 4,800 yen
As you can see, it's a considerable amount of money that can be returned to you. Therefore, don't forget to cancel your fire insurance policy when you move out of a property. However, we understand that it's easy to forget about this matter.
That's why we offer after-sales support to our customers, including providing guidance on how to conduct move-out inspections. This service is free of charge, and it can help you reduce move-out expenses by using fire insurance.
One of the most common issues that tenants consult with us about during move-out inspections is how to deal with scratches or marks on the floor or walls. Generally, damages caused intentionally are not covered by fire insurance.
However, there is a magic word that can include all kinds of damage. However, we cannot reveal this information online, as it may offend all insurance companies. If you're looking for a new property, please ask our staff about this trick in person.
Also, unlike car insurance, fire insurance doesn't have a system based on a classification of incidents, which means that the premium won't increase even if you use it multiple times.
Furthermore, by combining it with other benefits, you can use fire insurance to reduce your tax expenses. At APU Real Estate, we provide comprehensive support for all aspects of real estate. Please leave everything to us.