As a landlord, you want to consider how to go about protecting your rental property. After all, you hope to keep renting out your property for years to come. In order to get the most from being a landlord, it’s important to have proper methods of protecting yourself in place. Here are some things to think about when considering landlord insurance:

Homeowner’s insurance doesn’t work

Many people who own homes typically have homeowner’s insurance, and while that’s great to have when you’re living on the property, it won’t cover damages incurred when you’re renting out your property. This means that a tenant could potentially do anything from start a fire to knock holes in the wall, and you wouldn’t be able to use insurance for repairs or anything else. 

While homeowner’s insurance is a must for you when you’re living in your home, it will only be helpful if you are renting out your space temporarily, such as for holidays or temporary Airbnbs. 

You want property damage to be covered

While you may do everything from renter’s credit checks to background checks on potential tenants, you still want to ensure your home is covered in the event of property damage. One example of a situation in which you’d be glad you had landlord insurance is if your property became inhabitable due to tenants causing some sort of damage. 

Whether this looks like a fire or flooding in your home, landlord insurance can help to cover the rental income you’d typically be able to use during the time you’re having to make repairs on your property. If you don’t want to have to spend thousands from your pocket to fix your home, spend money on landlord insurance. 

In some places, it’s required 

In some states, you may find that you have to pay for landlord insurance if you’re hoping to rent out property. Being on top of this is essential to staying above board, in case you end up having any legal problems with tenants. While it’s not required or mandatory in most places to have landlord insurance, most homeowners renting out their property know that it can be hugely important for keeping their home safe should unexpected damage happen while their property is being rented out. 

Shop around

You don’t want to choose the first landlord insurance policy you find. You could be missing out on better rates that are available out there. There will be a number of factors that go into how much you’ll have to spend on your insurance coverage, such as the age of your home and its location. Just as with any insurance, doing your research is crucial to finding affordable options. 

Consider the kind of coverage you want

As with any kind of insurance, from renters to homeowners and automobiles, there are options for coverage. You may want to take some time researching these various options so that you can be confident you’re making a decision that works best for you and your landlord needs.

Liability protection is something to think about if you don’t want to pay high premiums but want to stay covered should something medical happen on your property. However, a lot of landlords who are renting out their homes take their insurance needs a step further, looking for options that cover everything from emergencies to floods, fires, and lost rental income. While you may be paying more on a monthly basis, should you ever need this type of insurance to kick in, it could be well worth it. 

In Conclusion 

As you think about renting out your property, make sure to consider the benefits of landlord insurance. It may seem like there’s a lot to pay for as a landlord or homeowner, but landlord insurance is the kind of thing that can save you thousands in the long run, so it’s worth considering!