Landlord’s rental property insurance provides coverage to protect your rental property from damage and you from personal legal liability. The policy covers the building with the option of insuring any contents that belong to the landlord that are inside. It should include liability coverage which protects you, as landlord, in the event that you are responsible for property damage or bodily harm to a renter or another 3rd party, and should also cover the cost of housing your tenants elsewhere, should the property be uninhabitable due to extensive damage from a fire or another covered loss.
Damage: Landlord insurance covers your property from most damage including fire, theft, vandalism, and water damage other than flood. Damage can deteriorate the value of your property and can also be a violation of landlord-tenant laws.
Loss of Rental Income: If your building is deemed uninhabitable, a landlord’s policy can reimburse you for the lost income during the time of rebuilding.
Property Contents: While landlord’s insurance doesn’t cover your tenant’s belongings, it typically covers your belongings that tenants might use, like appliances and furniture. It also covers property that is left on-site for maintenance, like tools or landscaping equipment. It’s important to take an accurate inventory of all your on-premises property.
Legal Fees and Liability Protection: You may be liable if your tenant is injured on your property. Most landlord policies cover legal fees and judgments in the event a tenant sues you. Landlord insurance may also cover medical payments.