What is landlords insurance?
Landlords insurance is a type of insurance that helps to protect the property owner (I.E, the landlord) from a whole range of natural or malicious damage and theft. Most policies cover just about every type of damage type imaginable from natural causes to purposefully malicious damage done to the property. Some specialized landlord insurance polices even cover the tenants and their belongings, though this tends to drive the price up dramatically.
Generally speaking, the more that your insurance policy covers, the more expensive it’s going to be. Most insurance policies can cover up into the million of dollars, though it all depends on the type of property you are renting out (whether or not it is commercial or residential as well as the location and size which also play a big role in determining the costs of landlord insurance) Though given the security that it offers, it’s well worth it just in case anything happens to your property somewhere in the future and the money you spend on your landlords insurance will usually pale in comparison to the costs of having to fix flood or fire damage.
Why should you get landlords insurance?
Landlords insurance should be purchased no matter what. Even if you’ve been renting to the same person for twenty years, landlords insurance should be purchased because in everyday life, accidents happen. Besides acting as a safety net should any damage arise to your property, it also tends to give the landlord a piece of mind knowing that if anything does happen to their property, the costs are covered and they won’t have to cough up the money for repairs.
What does landlords insurance cover?
Landlords insurance covers a fairly large range of accidents and malicious activities.
In general, the large majority of landlords insurance policies will protect the landlord from the following
Flood and water damage and in some policies even burst pipes or overflows from bathtubs or sinks.
Fire damage caused by natural causes, accidental causes or malicious causes.
Graffiti and other various types of vandalism to both the indoor and outdoor property and buildings including various pieces such as fences and letter boxes
Theft. Usually this only covers theft of property itself, for example, stolen letterboxes. Typically this won’t cover the tenant and their belongings and they will require their own insurance policy in the case that the property is burgled.
Landlords insurance is a vital key element to any person who is looking to rent out any of their property. It not only protects the landlord, but can also help to save a lot of money in the event that some form of natural disaster occurs or the tenant decides to vandalize the property. Landlords insurance is also one of the greatest ways to ensure that your investment stays safe and sound for many years to come and is protected from any unforeseen circumstances.