Landlord Insurance Information
If you own rental property, then you are a landlord. It’s in your best interest to have landlord insurance for any rental property that you own. It protects you financially from having to pay certain expenses out of pocket. It will also come in handy should something happen to your property and you’re unable to rent it while making repairs.
Basically, this coverage protects you from losses that are part and parcel to owning rental property. It may not be available to you if you intend to live in the unit. This coverage will normally protect the building structure along with having a component of liability insurance and repair or replacement coverage for the structure.
You have options, including personal property coverage for your personal belongings that may or may not be used by tenants. This coverage does not cover the tenant’s personal items. They will need renter’s insurance for that.
How it works
When your property is damaged, then file a claim for financial assistance. When a claim is filed, you pay the deductible before compensation is released. The insurance provider pays the balance of the costs, up to the policy limit. You are responsible for any amount remaining after insurance does its part.
The main benefit is you receive financial assistance. If rent is your main source of income, then you’ll want to make sure to protect your building. What would you do should the building become temporarily unlivable? With landlord insurance, you can receive help when things look bleak.