Sub 2 homeowners ins

On a sub 2 wrap
I canceled the existing policy in the old owners name and got a new policy in new owners name. Bank had been notified of the change in ownership and did not object. They have since sent a letter saying to get insurance on the existing loan number. Should I get a landlord policy in the old owners name and cancel the new one? What do you think?

leave the existing policy but make sure the lender is listed and includes the loan info. No point changing it, unless it is an owner occupied policy, which it should not be. Simple fire and hazard is what you want, to cover the structure, and any tenants or buyers in it, need to get their own “renters insurance” to cover their possessions. and make sure any agreements you sign with them, like a lease, contract/agreement for deed also states they MUST get a renters policy and discloses your insurance does not cover inside items or give them a right to storage.
Jim FL
a/k/a “bikerjim”
and I’m NEVER on this website anymore, but get notifications for this topic, so feel free to respond…I’m not selling anything, just done a few hundred sub2 deals and continue to…