Taking the Mystery out of Selecting Landlord Insurance
As a property owner you’ve likely heard of landlord insurance, but you might not understand why it’s important or what it covers. Knowing the basics can help make selecting the right coverage easier and less intimidating. Let’s take a look at what landlord insurance is and what types of protection it provides.
What Is Landlord Insurance?
Landlord insurance, also known as rental dwelling insurance is a type of property insurance that helps protect rental property owners from financial losses due to damage or destruction caused by tenants or other sources that are outside their control. It also helps cover medical expenses for injuries that occur on your rental property as well as legal costs if you need to take legal action against someone who has caused financial loss to your property. It can even provide some protection in the event of natural disasters like floods or fires.
What Does Landlord Insurance Cover?
When selecting landlord insurance, it’s important to understand exactly what it covers. Typically, basic landlord insurance policies will cover damage to buildings and contents within them such as furniture, appliances, carpeting, and other items that are provided with the rental unit. It may also include liability coverage in case someone is injured on your premises and decides to sue you for damages. Your property coverage can help in situations when there is a large storm and a tree falls and damages your rental building. Additionally, there may be coverage for lost rent if a tenant unexpectedly leaves without paying rent for their final month.
Your property coverage will also likely cover damages from:
- Lightning
- Fire
- Wind
In addition to your building, your policy may also cover the following types of property:
- Outdoor equipment used to maintain and service your property, ie. lawn mower.
- Other structures on your property as outlined in the policy.
Finally, some policies may even offer additional living expense coverage if your building becomes unlivable. This could include a catastrophic event like a fire or flood and your tenants must stay elsewhere while repairs are being made. Coverage would help cover any additional expenses associated with temporarily relocating tenants until repairs can be completed on the building.
Selecting the right landlord insurance policy doesn’t have to be an overwhelming experience. Contact your Greenville insurance agent, Premier Insurance Consultants. We’re here to discuss what type of coverage you need and how much coverage is appropriate for your situation. We’re also here to answer any questions so that you understand exactly what’s covered in the event something unexpected happens at one of your rental properties. With insurance, landlords can rest assured knowing protection from potential financial losses associated with owning rental properties is in place.
Disclaimer: This article is not expert advice. Limitations and conditions may apply. Premiums will be based on benefits chosen. Please check with your local Independent Insurance Agent for details.
