The Best Types of Landlord Insurance To Have

As a property owner, you must ensure you and your investment are protected. The right landlord insurance policy will cover any unexpected financial losses or massive expenses, protecting the profitability of your operation.

Landlord insurance policies should cover property damage, liability, and lost rent if the property becomes uninhabitable. It’s a bit different than homeowners insurance and usually includes two types of coverage: property and liability protection. It’s important to remeber to make the change from a homeowner’s policy to a landlord policy if you previously occupied the property.

Generally, policies cost 25% more than a standard homeowner’s policy to pay for increased protections. Your mortgage lender will require proof of a valid landlord insurance policy. Remember, that insurance premiums are tax deductible for investors.

Technically, landlords aren’t legally required to have any type of insurance. However, if you’ve taken out a loan on the home, the lender may require property owners to have a basic homeowner’s insurance policy. Please note, a conventional home insurance policy may not protect you if you’re renting out the property.

In this video we tell you how to better understand the options available to landlords.

If you have any questions, reach out to us at C&C!