Landlord Insurance

What is a Landlord's Policy?

As an owner of a dwelling unit that you rent out, A Landlord's Policy protects you from financial losses. A typical landlord policy has two types of Insurance coverage, Property coverage and Liability coverage.  

(1) Property coverage:

The property coverage in a Landlord's policy typically covers:

(a) Dwelling Structure: In case the Dwelling is damaged by fire, lightening, hail, wind or other type of losses specified in the policy.

(b) Other Structures: A detached garage or fence that is detached from the actual dwelling structure

(c) Personal Property of Landlord: Typically used for the upkeep and maintenance of the Rental Property such as a a lawnmower, snow blower or any other piece of equipment or machinery for maintaining the rental unit. Any other personal property of the landlord left or stored at the rental dwelling that is not specifically kept for the maintenance and upkeep of the rental unit is excluded from coverage. 

Insurance coverage is subject to deductibles, policy limits and exclusions based upon the policy type purchased and the information is stated in the policy. 

(2) Liability:

Typically, there is no deductible on the liability section. Liability coverage protects the landlord in case the tenant or someone else gets injured in the rental property and the landlord is held liable for the injury for inadequate maintenance. 

Multiple Tenants pertaining to a Renter's Policy.

The property of a roommate or a domestic partner may not be included on your renters policy. Check with your insurance company to see if multiple tenants may be covered under one policy or if you will each need your own policy.

Additional coverages are available on a landlord's policy that can be added depending upon eligibility. 

Burglary: Stolen items are typically excluded and the standard landlord policy only covers the structure. Certain items can be covered by adding the additional coverage for Burglary. 

Building codes: After a loss while repairing the Rental property, new building codes can require upgrading items per the new building codes, such as plumbing, electric or ventilation. This coverage could help reimburse the additional cost.

Rental Property under construction: The Standard policy does not or may provide limited coverage for a Rental Property under construction. During renovation or new construction, the coverage can help cover the property from a loss. 

Vandalism: Most landlord policies exclude vandalism coverage. By purchasing or adding this coverage, the loss as a result of vandalism can be covered. 


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