LandLordStation.com offers a variety of information about landlord insurance. There are a variety of types of landlords insurance policies for which you may qualify. Before you make a decision about the coverage you want, it is helpful to review the available coverage and determine which landlord insurance policy you need.
You must have insurance on the real estate dwelling pursuant to the laws of every state. Of course, if there is a mortgage, you will be required by your lender to carry insurance and the lender will probably determine the amount. In addition, you can carry coverage for third-party liability in the event the tenant damages or destroys the structure of your property. This insurance can cover the cost of re-housing tenants should the home become inhabitable through no fault of the tenant.
States require different amounts of liability landlord insurance so it will be necessary for you to become familiar with the requirements of the state in which your property is located. Landlords liability insurance protects you in the event that a tenant, visitor or workman is injured on your property and files claims against you. Generally, it is thought that the more liability insurance you carry the better.
Make sure that you ascertain exactly what the landlords insurance you purchase actually covers. Does your insurance policy cover flood, fire, hail damage, wind damage and more? Does your liability insurance cover injury, hospitalization and death? Be sure to familiarize yourself with your coverage and your deductible.
It is possible to buy what is called “stand alone” or “add on” policies that guarantee that you receive rental in the event of tenant default or legal expenses if you need to take your tenant to court. These policies are usually so expensive that they are cost prohibitive but they are available.
If you own more than one property, be sure to shop for discounts as well as prices on umbrella policies. Insurance companies generally offer very competitive multi-property rates. Don’t, however, base your decision on price alone, you need to research the terms and conditions of the policy offered, as well as the reputation of the insurance company.
Do not forget to factor the price of your insurance policy into the price of the lease. LandLordStation.com offers a community of experienced landlords and property managers in an on-going conversation that is designed for you to get recommendations and information. When you have done your homework, you will be able to get a landlord insurance quote and understand exactly what your coverage will be.
We recommend that, if you have any doubts about the provisions of the landlord tenant law as it pertains to property insurance coverage, that you consult a real estate attorney or licensed insurance broker. Also, we believe that you will have the best possible results when you screen your prospective tenants with the LandLordStation.com service and have the greatest possible understanding of your legal rights and responsibilities. LandLordStation.com gives you general information pertaining to the rental industry but does not offer legal advice and opinions.
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