Need urgent assistance with home owners insurance (Freehold: for sale, broker)

[Harrish]

I recently bought a home in Freehold, NJ. I was initially insured with Cumberland who hired an independent inspector who determined that the house might be EIFS. When I knock on the exterior of the home it does sound hollow. I now have a policy with Liberty Mutual and they have also ordered an independent inspection. Half the homes I saw in Freehold when I was house hunting had the exact same exterior. Which insurance companies are covering this? This is really starting to become a circuitious process.

[HalfFull]

I have only heard that many insurance companies won't cover, or charge extra for a Rider. I think it's not cheap.

[JCK7778]

Most standard admitted companies will not cover EIFS construction unless it was constructed after 2002 and is water managed. EIFS construction is a breedig ground for mold as it is essentially styrofoam over wood. When not iwater managed or not installed correctly (which is the case most of the time) there is nowhere for the water to drain to.

All companies are going to send an inspector out to appraise the home for both replacement cost as well as the condition of the home.

Unfortunately you might have to seek coveraged in the excess and surplus market unless the home is over $1M to replace in which case you can go to Chubb, Chartis or ACE which are all high net worth insurance carriers that will cover this type of construction in most instances.

My advise would be to call an independant agent (I can give you a name if you message me) as they will have a vast array of companies to choose from and will know who and who will not cover this type of exposure.

[Hal Jalikeakick]

OP, did your home inspector (not insurance inspector) pick up on the fact that the home had EFIS?

jck, i work in the surplus lines industry, and most of our companies either won't write EFIS, or Exclude Coverage for EFIS related losses.

[JCK7778]

Hal, I am an underwriter for a very large insurance company company and I was not sure about if E&S companies would write it. When I was on the broker side like 5-7 years ago at least Lloyd's or Lexington were still writing the coverage, but I have been out of that game for awhile now!

Thanks for the information, not that it is going to help the OP. Everytime I drive past a home for sale that is constructed of EIFS I cringe.

[Harrish]

The home was initially brick with vinyl siding. The synthetic stucco was added about 2.5 years ago. The inspector from the ins. carrier came last week and made NO mention of the exterior construction material so hopefully we'll be in the clear! Wish us luck!

JCK7778,

Thank you for offering the contact #. I will be in touch if things don't work out but I'm confident & hopeful they will.

[Harrish]

Also, there is draining for water under the stucco along the sides and rear of the house.