About Landlords Insurance

Introduction

Underwriting landlord's insurance is similar to underwriting homeowners insurance. There is only one main difference: Personal property is not covered. Structure, liability, and non-resident medical are all covered. You can also add additional clauses to your landlords insurance for things like a washing machine or stove. Of course, the add-on clause will vary depending upon the insurance company that you choose to go with.

Most companies cover what are known as risks. These are basic damages such as fire, lightning and wind. Oftentimes those things that are not covered will far outweigh the covered situations though. These are things that need to be carefully reviewed. Usually, you can add these risks back to your policy via add-on clauses.

There are several different types of landlords insurance available for you to choose from today. These include:

• Specialty Coverage: The items that are included here will vary from one company to another. Some of the things that you may wish to consider adding include theft of landlord property, malicious damage, riots, water or oil from local water bodies or oil refineries, subsidence, tenant default, employee liability coverage, terrorism and non-standard construction.

• Liability is there in case you're sued for any reason that's covered in your contract. Whenever you have this type of landlords insurance your legal expenses will be covered and if you are at fault, the liability will pay up to your policy's limit.

• Medical is a small portion of funds that are set aside to coverage the medical costs of non-residents or non-policyholders who get injured on your property. Usually, the amount is between $1,000 and $10,000. It has nothing to do with health insurance nor should it be used as such.

   

The deductible on your landlord's insurance is the amount that you, the policyholder, is willing to pay for any damages that are incurred. The higher your deductible is, the lower your landlords insurance policy will cost. You do need to take some time to look over this because a high deductible can sometimes be detrimental. Usually the deductible for landlords insurance ranges from $100 to $5,000. However, if you are in a high-risk area, your deductible could be $10,000 or more.

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