Renters, Dwellings & Vacant Property Coverage
Landlord & Dwellings Property Coverage
When a property owner becomes a landlord, that’s no time to let your insurance on the rented or leased property lapse. Renting or leasing a home, apartment, condominium or building to another party still has specific liabilities not covered by a traditional owner’s policy.
You may need a Dwelling Fire/Premises Liability policy. This policy provides coverage for the building and equipment, the landlord’s personal property, even the loss of rental income and personal liability arising from a covered incident at the rented premises.
Vacant Property Coverage
If you have a vacant property, your insurance may leave your stranded. Vacant and unoccupied buildings or structures can face increased risk of vandalism and theft, as well as property damage from neglect or disrepair. Traditional policies often don’t cover such structures or have limitations that may restrict or remove coverage if a home or structure is vacant for more than 30 or 60 days prior to a loss. Even properties undergoing renovations need the right coverage in the event of a loss or to ensure a valid claim can be made.
Renters Insurance (Homeowners Form HO4)
If you rent, do you carry renter’s insurance? Most don’t. Most should. If you rent or lease a home, apartment or condo – and a fire, theft, flood or other calamity strikes, who will pay to repair your minor upgrades to the unit or replacement of your damaged furniture or clothes or stolen personal belongings?
Don’t ask the landlord. It’s likely the tenant’s responsibility.
“Renter’s insurance” – called a Form HO4 – covers repair of minor interior damages, replacement of the tenant’s personal possessions, as well as other expenses incurred if the unit is damaged by fire or another covered event. It may also reimburse you if you’re forced to relocate during repairs. The HO4 may cover your liability if someone is injured in the residence.
Never heard of the HO4? Don’t be surprised if your next landlord has – and requires you to obtain it.
Renter’s Flood Insurance
Another policy to consider: Flood. Rain and plumbing or sewer systems leaks can be costly events often not covered for renters by the landlord’s policy. Renter’s flood policies aren’t expensive, but they can be invaluable.For more details, see Flood insurance.
Whether you’re a landlord, the owner of a vacant building or a tenant, your 1st Street Agency partner agent can help you understand your liabilities, responsibilities and solutions to these unique insurance needs.