Landlord Insurance FAQ

August 18, 2022

Property and liability coverage can protect landlords from financial losses. 

suburban home

What is landlord insurance?

Landlord insurance is financial protection for someone who owns and rents out a property. It can cover physical damage to the dwelling itself, to other structures on your property, and to personal property used to maintain your rental. It can also cover legal and medical expenses if a tenant or guest is hurt on the rental property and you are found responsible. 

Is landlord insurance required?

While landlord insurance is not required by law, most lenders require it. If you’re financing or have a mortgage on your property, landlord insurance is likely required by your lender. 

What does landlord insurance cover?

A standard landlord insurance policy will likely include the following coverages: 

  • Liability: if a person is hurt while living in or visiting your rental property due to a property maintenance issue, liability coverage can cover associated medical expenses and legal fees.
  • Property Damage: if your rental dwelling, other buildings on your property, or equipment used to maintain your rental are damaged by a covered peril, property damage coverage can pay for repairs.
  • Lost Rental Income: if there is a covered loss and you cannot rent out your property as a result, loss of income coverage can provide temporary reimbursement for lost rental income.

Optional coverages such as vandalism or burglary can usually be added for additional protection.

What isn’t covered?

Tenants’ belongings are generally not covered under a landlord insurance policy. Many landlords require tenants to purchase renters insurance to protect their personal belongings in the event of a covered loss. In addition, landlord insurance does not cover maintenance on the rental property, such as appliance repairs or replacements. 

How much does landlord insurance cost?

Landlord insurance coverage is typically more expensive than a standard homeowners insurance policy because rental properties carry a higher risk of damage and other incidents. Reach out to an independent agent to learn more. 

Looking for a quote? Request one online or visit us in Ellensburg at 426 North Pine Street.