Questions About Landlord Insurance
Landlord insurance is a type of policy that covers a rental property owner from major financial loss due to unforeseen instances. These can include instances such as storm damage, fire, water damage, tenant damage, and much more. There are many insurance companies out there that offer landlord insurance.
Why Is Landlord Insurance Important To Have?
When you expect to rent out a property, you are typically taking on more risk than just being a homeowner. There are many things that can happen to or on your property that could result in legal claims and lawsuits. Landlord Insurance by Youi is there so you can transfer a large portion of that risk over to the insurance company and avoid major financial losses.
What Is Included In Landlord Insurance?
The answer to this question highly depends on your individual policy. Each insurance company may offer additional coverages for their client that other companies may not. For the most part, every good landlord insurance policy should include the following parts:
- Public Liability
- Property Owner’s Liability
- Loss of Rent Coverage
- Contents Insurance
- Glass / Lock Replacement
As stated above, there are many other additional coverages you can opt for on your individual insurance policy for an additional rate. These are just the basic coverages that you should definitely have in your insurance policy.
What Is Loss Of Rent Coverage?
At times when you are not collecting rent payments due to uninhabitable living circumstances at one of your properties, you can get a rent payment from your insurance company. Some examples of when this would happen include, fire or flood damage that needs to be repaired. Most insurance policies cover a period of up to three years, however, this will depend on the individual agreement between you and your insurance company.
What Is Public Liability Insurance?
This part of your insurance policy is meant to cover the medical expenses or damages incurred by others while on your property. For example, if a tenant, workman, or visitor gets injured on your property due to a fault on your end, such as a loose railing that finally gave way, your insurance will cover their medical expenses. If a pipe were to burst and completely soak a tenant’s possessions, public liability insurance would cover the cost of replacing them.
What Is Contents Insurance?
Contents insurance is an ideal choice for those landlords that offer furnished properties. This policy will cover all your furnishing items in the event that damages happen to them.