Landlord Insurance Coverage — What Is and Isn’t Covered

Landlord Insurance is for non-commercial landlords who own and rent one to four unit tenant-occupied residential properties. It does more than just protect your investment from damage. It also protects you from certain types of liability unique to landlords, like wrongful eviction and entry.

If your rental property becomes uninhabitable due to a covered loss, Fair Rental Value Coverage can help pay you the rental income you would otherwise lose. In other words, if your tenants have to move out, Fair Rental Value Coverage could keep the rental income flowing in for up to 12 months, while the unit is being repaired or rebuilt.

Standard landlord insurance policies provide the following types of coverage, up to the limits outlined in the policies:

  • Dwelling — Covers the damage or destruction to your rental property and structures attached to it, such as a deck. (Coverage A)
  • Other Structures — Covers the damage or destruction to any unattached structures and buildings, such as fences, detached garages, and storage sheds. (Coverage B)
  • Personal Property — Covers your personal belongings that are left on the premises – such as microwaves, washers and dryers being used by your tenants. (Coverage C)
  • Fair Rental Value — Covers the income you lose if the property is deemed unlivable due to a covered loss and your tenants have to move out. (Coverage D)
  • Personal Liability — Protects you against financial loss if you are sued and found legally responsible for someone else’s injury or property damage. (Coverage E)

A standard landlord insurance policy may not protect you from:

  • Flood — Flood coverage is not included in your landlord insurance policy, but is available for purchase as a separate policy. Flood policies cover damage due to flooding, according to the guidelines established by the National Flood Insurance Program. If your property is located in a flood plain and you have a mortgage, you may be required to carry flood insurance.
  • Windstorm & Hail Damage — In certain areas (mainly coastal locations), standard landlord insurance coverage may not cover damage caused by windstorms and hail. Check your policy information to see if windstorm damage is covered in your area. If this coverage is excluded, you may be able to qualify for a separate wind insurance policy, depending on your property’s location.

 

Your best choice for insurance

The first right decision in protecting all of your assets is finding an insurance agent who understands YOU and your family. We pride ourselves in taking the time to discuss your needs to ensure that you don’t find a gap in coverage when you need it most…something that can’t always be done in 15 minutes and is too important to rush. Make sure you and your family are fully protected and call us at 407-977-5700 or email any time at robert@wurzelagency.com.

Learn more about what is and isn’t covered:
Learn more about the coverages included in a policy:
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