After acquiring a home, you should apply for home insurance. There are instances whereby you may decide to rent out your home. In this case, you need to understand that home insurance won’t apply anymore since the property has been rented out. As a landlord, you’ll need to apply for landlord insurance.
If you haven’t heard of landlord insurance yet, Heath Ritenour is ready to enlighten us about this insurance policy. For starters, you need to know that this insurance policy will safeguard you from financial losses and different liabilities.
As the IOA (Insurance of America) CEO, Heath Ritenour can guide you on the best insurance policy you should get if you’re a landlord.
About Landlord Insurance
Heath Ritenour insists that prospective and current landlords should know the difference between landlord insurance and home insurance. Home insurance comes in handy if you reside in a property that you own. After you rent out the property, the home insurance won’t safeguard your interests. You’ll need a landlord insurance policy even if you rent out the property for a few days.
What the Landlord Insurance Policy Covers
The landlord insurance policy will vary in the coverage being offered. Some of the coverage types in most policies include:
- Liability- costs that relate to liability claims will be covered, including medical costs, settlement expenses, and lawsuits.
- Loss of income- the lost rental income will be covered when a tenant decides to move out because of losses.
Most landlord insurance providers will offer additional coverage. You’ll notice that most insurance providers won’t offer flood insurance, whereas others will offer this type of coverage. As a landlord, you can opt for additional coverage for items such as furniture in your rental property.
Heath Ritenour advises landlords to be aware of some exclusions. For instance, if an appliance breaks down, the landlord should cater to the repair expenses. The insurance company won’t be liable in such an instance.