Landlord insurance offers a protective shield that provides financial security for your property. If you don’t have it you may suffer financial losses when you meet with mishaps. Such mishaps could occur in the form of property damages, rent losses and so on. Landlord insurance has become a vital part of your life by covering you from all these losses.

We have so many landlords who aren’t yet covered with landlord insurance. They aren’t aware of their risk and the financial blow that they might receive in the future. They are depending more on luck than their knowledge of investment. Landlord insurance will offer a strong backup for such potential losses.

We do have a few dedicated landlord insurance providers in our country. However, it’s difficult to ascertain how many of our landlords have actually opted for such coverage to protect their investments. Over here we need to find out the difference between landlord household coverage and standard household coverage. While the standard form of coverage is not meant to protect home owners from rent losses, the latter is. A specialist landlord policy is designed to cover the various issues concerning your property.

Landlord insurance helps you recover from losses that you’ve already suffered on your rental property. You grow more conscious as a landlord regarding the checks that have to be maintained by plumbers, electricians and various fire regulatory devices e.g. smoke-alarms. Once you have these points in mind you’ll feel the urge to protect your income and investment on your rental property. The major types of landlord insurance can be described as follows –

Landlord Buildings Coverage

It covers the cost to rebuild the structure of a building. It comes to good use when the building is damaged due to fire or flood.

Landlord Contents Coverage

It covers the items that we own within a building e.g. televisions, sofas, chairs, carpets etc. The owner gets reimbursed for the loss of such items in the event they get stolen or damaged.

Landlord Liability Insurance

We have seen an increase in personal injury claims during the last 2 decades. Lawsuits are being filed for compensation regarding injuries that are caused within rental properties. It covers the landlord against lawsuits filed by tenants and associated legal charges.

Loss of Rent Coverage

Your property may turn uninhabitable due to sudden damages or repair work. You may get reimbursed for the rent loss during such periods.

Accidental Damage Coverage

You may suffer from accidental damages caused by tenants. Such damages may occur all of a sudden and take you by surprise.

Alternative Accommodation Coverage

If your property gets damaged, buildings insurance will cover the property damages and the contents insurance will cover the furniture. At the same time it’s also important for you to look for an alternative accommodation. If your property turns uninhabitable, then the alternative accommodation coverage will provide for such an arrangement.

These days Landlord insurance turns out to be a necessity for all those who have a rental property. Otherwise, it’s very difficult to maintain a rental property now-a-days. Tenant lawsuits may offer financial blows that most landlords find difficult to cope with. Only a handful of us who have our property in good shape and maintain a good relationship with our tenants may choose to opt out.