by misc.charity » Wed Sep 01, 2010 12:22 am
Hi,
My mother own a home in texas. I reside in that home and take care of all the related costs. Now can the home insurance be under my name (though i am not the owner). My mother does not have a credit history and she is not a texas/us resident. Will the rates be higher if the insurance is in her name as opposed to mine (provided it's allowed) just because I have very good credit history?
My mother own a home in texas. I reside in that home and take care of all the related costs. Now can the home insurance be under my name (though i am not the owner). My mother does not have a credit history and she is not a texas/us resident. Will the rates be higher if the insurance is in her name as opposed to mine (provided it's allowed) just because I have very good credit history?
Posted: Wed Sep 01, 2010 12:25 am Post Subject:
Please move this to Home Insurance and edit the title to remove 'in'
Posted: Wed Sep 01, 2010 01:25 am Post Subject:
While I've not known carriers to ask... they can check this info. You should not be able to have a HO policy on the home as you don't own it. You "really" don't have a financial interest in it (though living in it gives you a little financial interest, it's not the kind you need).
Your mother owns this home outright... no mortgage company? If it has a mortgage then it should have insurance already. Most carriers are going to run some type of check on a home to see if it has insurance and/or the owner.
Posted: Wed Sep 01, 2010 01:28 am Post Subject:
Thank you for your quick response.
No mortgage company. We are shopping for a new policy, but since she's hardly ever around, we thought it would be more convenient for it to be under my name. But I guess you are right, it doesn't make sense. Legally, it needs to be in her name ( I am a novice in this area).
Posted: Wed Sep 01, 2010 03:14 pm Post Subject:
need to have it in her name and list you as an an additional insured. she has the insurable interest as she owns the home, but since you are living there, you should be on the policy...also to cover your personal items. Otherwise you'll need to get a renter's / contents policy.
Posted: Thu Sep 02, 2010 03:39 am Post Subject:
California insurance law, which is not unlike that of most other states in this regard, specifically states that where there is no insurable interest, there can be no insurance.
As a resident of the dwelling, you could have an HO-4 renters policy, but it will not cover anything other than your personal property and any personal liability losses. But as a non-owner, you legally cannot be the owner of a fire or other dwelling policy such as a DP-1, -2, or -3, or an HO-3, or -5.
Where your mother resides is not an issue -- it could be Mexico, Canada, Argentina, Russia. She just has to apply for the policy. You can pay the premium for her. And you can also be named as an additional insured as has been suggested. But only the FIRST NAMED INSURED has the privileges of ownership.
Posted: Thu Sep 02, 2010 03:59 am Post Subject:
Lol. What he said
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