Home Insurance landlord insurance: what does landlord insurance cover and not cover

landlord insurance: what does landlord insurance cover and not cover

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There are so many ways landlords can use to protect his/her rented properties to minimize the financial risk attached and the suitable way is purchasing a landlord insurance policy. Buying any insurance you need to know what that insurance is, what that insurance covers and does not cover, and some other things. In this article, we will be discussing what landlord insurance is, and what landlord insurance cover and does not cover a lot more.

What is landlord insurance?

Landlord insurance is set to additionally protect an investor from financial loss on their rented properties. The most related is the homeowner insurance policy which provides limited protection for renter properties but landlord insurance provides just extra coverage should in case the property got damaged and liability protection against an injured tenant or guess that sue landlord.

Do I need landlord insurance?

Even though you are not mandatory to obtain landlord insurance but you might need it under the mortgage lender policy if the property was gotten through a mortgage. Also, your tenancy agreement may be best served through the landlord’s insurance policy in terms of future financial risk on your properties

What does landlord insurance cover?

There are a couple of things landlord insurance covered, but these are the 3 major covers that comprise of others :

Property Damage: This is the type of protection against real estate or furniture if it got damaged maybe fire damage, vandalized, irresponsible tenant, electric or appliance malfunctioning, and lot.

Loss of income: Landlord insurance can also cover landlord rent income in case the house got uninhabitable which leads to the tenant moving out of the building. What you just need to provide is proof of renter income and proof of moving out if genuine.

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Liability protection: This coverage of legal costs or medical costs of a tenant or visitor that got injured in a rented apartment due to house maintenance and any apartment damage that cost the injury.

Some Extra coverage

There are some extra riders that come in with landlord insurance policies that could save you a lot of money and not mentioned above so let’s mention just 4 of them

Flood insurance: Most landlord insurance does not course floods that took over properties or natural disaster damages. So it is worth considering adding this type of insurance if your property is in a flood-driven area.

Additional expenses on construction: This type of insurance covers expenses you spent after bringing the building up after damage.

Guaranteed Income Insurance:  This covers the landlord if the tenant is short payment or did not pay at all

Emergency Coverage: If an emergency emerges and a tenant needs some necessary things to fix like leakage in the building and anything of such. This will insure you pay for the expenses.

What does landlord insurance not cover?

You need to know what landlord insurance did not cover so you will know the ranges of and what your policy covered or did not cover.

Shared property: Landlord insurance policy was designed for non-owner occupied properties so shared properties cannot get landlord insurance. So related insurance policies can ask for an extra policy as a homeowner insurance policy. If your property was shared you are ineligible for a landlord insurance policy

Tenant properties: Like tenant’s car and other properties are not insured by landlord insurance so the tenant should get the appropriate insurance for that

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Maintenance or repair: Landlord insurance did not cover repair caused by normal wear ad tear of the appliance or damages caused by lack of proper maintenance.

How much does landlord insurance cost?

This always depends on a lot of factors but on average should cost around $2,000 it is best to make an inquiry from the insurer. And that is why you should always compare insurer policies before taking any insurance or any purchases. Putting a lot of factors in mind not only about the price but some other things that will make your mind at rest that this insurer can actually cover you.


We have successfully explained what landlord insurance is, what and what does landlord insurance covers, and what it does not cover. Before you take any insurance make sure you compare the insurer before you purchase. Also, read the terms and make sure you know all documentation and the necessary financial impact on everything.