Being a landlord is not as easy a task as it seems to be. It involves several responsibilities towards tenants, buildings and their own finances. It also involves a lot of risk regarding loss of rent, property damage, legal claims of personal damage by tenants and financial loss because of no tenants at all. Though Landlord Insurance keeps the impact of any such damage low by offering compensations and risk managing policies, it is not easy for landlords to get the right coverage. With a third party responsibility, how many landlords actually care about the tenants or plan beyond the obvious risks of finances?
You can, even if no one else does this. You can provide yourself and your property, the right amount of required protection along with offering your tenants the same safety guards by getting a quote that is comprehensive of all possible damages that can come from your tenants, to your tenants and to your property.
All property owners who rent their property require this, be it residential homes, apartments or condominiums. This protects their finances against property damages and income loss brought in by the tenants.
However, there is additional coverage like damage from external influences like natural disasters, or by damage to any personal content/asset, furnishings, or any damage that comes to your tenants while they are in premises of your property.
This coverage can be important to you if your house inhabits expensive assets, personal content and if you are aware of all the legal risks rental business can bring forth. Such risks can easily be managed with the help of additional insurances combined with primary landlord insurance that expands the coverage of your protection.
Building insurance can provide you the protection against natural disasters and calamities like earthquake, flood, fire, and storm by covering the reconstruction cost.
All you will have to pay attention at is rebuild cost of your property and what the insurance policy will provide, while it covers your building’s,
- Plumbing systems
- Exterior blinds and awnings
- Some external systems
No property is hundred percent secured from burglary, theft or damage and every landlord will require to protect his belongings from them. This can be done by purchasing content insurance which will cover,
- Carpets and curtains
- Furnishings and furniture
- Household goods and loose floor coverings
- Utensils and domestic appliances
- Internal blinds and temporary light fittings
The coverage can be extended to any accidental damage like glass breakage or a stain of an expensive carpet. There might even be policies that will replace your old belongings with a new one, should some damage come to them.
Residential strata insurance or Loss of rent insurance
This insurance covers the time period when your home is unoccupied by tenants for a particular time, whatever rent that misses out will be protected.
This is best for those who are crucially dependent on their rental payments to pay bills or meet monthly payments.
Being a landlord, you might come across tenants who could make troublesome claims of their damage that they came across in your property premises.
In such an event, Liability Insurance will cover you against tenants who might try to indict you for an accident that happens in your rented property, which may include injury or even death.
Thus, it is always wise to take precautions and safeguard all – your finances and repute.
Legal expenses insurance
Talking of such claims, you might even want to cover your legal expenses that you would have to spend to defend yourself against any false claim. You might even get into disputes with your tenants that might involve expelling residents and reclaiming your property. This too is covered under this insurance.
You might even be able to extend the policy to get the owed rent of your tenant to be recovered.
Home emergency covers
It will cover the expenses of arranging sudden repairs that includes gas leak, pest infection, break-in, etc. in your owned property. This insurance will be at your service 24*7, all year.