Landlord insurance is for the protection of rental properties. Generally, policies cover the structure(s) and property used for maintenance.
Yes, landlord and home insurance are different. Home insurance offers personal property coverage, meaning your belongings are protected in your residence. Landlord insurance primarily protects the "dwelling" (or structure) of a property and is not intended for the place you call home.
If the damage is caused accidentally, the landlord may be covered. For example, if a tenant experiences a fire in their kitchen, the property would likely be covered.
Consider requiring your tenants to have Renters Insurance. Policies are affordable and easy to get online.
The property protection in a landlord insurance policy typically helps cover physical property related to the home you're renting out. This may include the dwelling itself and equipment you keep on site to help maintain it. Coverage generally includes:
All of the above types of coverage are subject to the deductibles and limits stated in your specific landlord policy. Your deductible is the amount you'll pay for a covered loss before your landlord insurance kicks in. A limit is the maximum amount your policy will pay after a covered loss. Each coverage typically has its own, separate deductible and limit. You may be able to set your own deductible and limit amounts for these coverages.
The liability portion of a landlord insurance policy may help you pay for another person's medical bills or your legal expenses if someone else is injured on your rental property and you're found responsible.
For example, if your tenant falls down stairs at your rental property and a court determines that you failed to maintain the stairs and/or railing, you could be held responsible for your tenant's medical, legal and other costs. In that case, your landlord liability coverage may help pay for those expenses, up to your policy's limits. You typically won't pay a deductible for a liability claim.
Depending on the neighborhood, geographic area or condition of your rental, you may want to consider adding on some optional coverages to your landlord policy. These coverages may include:
Talk with your local agent to learn what optional coverages may be available and for help understanding how they may help protect you as a landlord.
While landlord insurance may help pay for expenses stemming from a number of sudden and accidental losses, you'll likely find that some things are excluded from the policy's coverage. A landlord policy may not cover:
Ready to rent out a property you own to tenants? Reach out to Cottle Insurance and a member of our team can explain what options are available so you can choose the coverages that are right for you.