Landlord Insurance is a kind of policy that provides protection for property owners who rent out apartments, condos or single family homes. Landlords need the protection insurance coverage affords them due to the potential of financial losses that often will occur as a result of damages to their rental property from weather, fire, theft and other kinds of conditions and events. Landlords can opt for insurance coverage to help in dealing with such losses, as well as the potential disruption of income streams from their rental properties in the event they are uninhabitable due to covered loss. Each specific insurance policy will have set limits to the coverage for property damage and a deductible will usually be paid to the insurer before the policyholder will be reimbursed. Regarding liability claims, landlord liability insurance can handily cover the costs up to the set limits on the policy, assuming the deductible is paid.
There are several main kinds of coverage types under Landlord Insurance. Each policy can include some or all of each of these types of coverage. Property damage is what handles the damage to the landlord’s buildings and personal property that comes from storm or fire damage, tenant destruction or degradation, vandalism and theft. This insurance coverage will also generally provide the replacement expenses for the entire rental property should there be a total loss. Liability is the coverage that protects a landlord from lawsuits and claims, whether resulting from a tenant, a visitor or even a trespasser who is hurt on the landlord’s property. Liability coverage helps to cover the costs related to bodily injury claims filed against the landlord, whether it is associated with medical payments, legal fees, or other sources. A landlord can obtain additional coverage options as well, like natural disaster insurance, rent guarantee insurance, employer liability insurance, and more. Talk with your agent for more info.