If you are a property owner who rents out a home, apartment or condominium, then landlord insurance is something you will want to look into. This type of insurance provides protection from damage that could happen to your property whether it be caused by lessee’s or mother nature. This protection is the number one benefit.
This type of policy typically covers both the property and also covers liability. It will pay to rebuild your home/apartment/condo as well as the outbuildings. The liability portion of the insurance policy will protect you if your tenant, or one of their guests, tries to sue you for injury or death.
Personal contents coverage protects the items you, the lessor, leave in the rental for the lessee’s use. Types of items covered include TV’s, furniture, throw rugs and carpets. There are even policies that will replace your items brand new. Look for the wording “”new for old”” in the policy.
Loss of rent insurance can be added on to your basic policy. It is useful, especially if you are unable to rent your property out for some reason. This optional coverage can save you from becoming behind on your mortgage if you have one, or from losing the property.
Legal Expense Coverage is optional and can be added on to your basic insurance policy. It will cover any legal expenses associated with evicting tenants. It will also cover the legal costs of any disagreement that may occur between the lessor and the lessee.
Landlord insurance is not required but it is recommended. It can be written off as a business expense on your taxes. It protects you from not being able to pay for damages done to your property, therefore protecting your investment(s) and asset(s).