Landlord insurance is designed to protect landlords in the case of damage to their rental property. Unlike homeowners insurance, a landlord policy protects the dwelling or structure rather than personal property. It’s only intended for rental property owners that have tenants renting their properties.
Since your rental home provides a source of income, it’s important this asset is thoroughly protected from an unexpected loss.
What Does Landlord Insurance Cover?
Property Damage
If your rental property is physically damaged by a catastrophic event like a fire, severe weather, or criminal activity, your policy will cover the structure and any equipment used to maintain the dwelling.
Liability
If a tenant or someone visiting the home is hurt, your landlord policy can help cover medical costs and legal fees related to the incident.
Loss of Income
If damage to your rental property prohibits anyone from living in it, many policies can provide reimbursement for loss of income during that period of time.
What Doesn’t Landlord Insurance Cover?
The differences between landlord, homeowners, and renters insurance can be confusing as to which policy covers what. Both owners of rental properties and tenants should thoroughly understand who is responsible for insuring their own property.
Typically, landlord policies do not cover:
Tenant personal belongings
Cost of evictions
Some types of tenant damage
Repairs for appliances
If you have questions about what your landlord policy does and doesn’t cover, an agent at JMG Insurance Services can help you understand your policy.
Renting out properties comes with its own set of unique risks. Even if your tenant carries rental insurance, you’ll still need adequate coverage to protect your rental home from structural damage, loss of use, and other liabilities.
Contact JMG Insurance Services now to get started.
