As a homeowner, you understand the importance of protecting that home from the unexpected. Severe weather and other incidents can lead to expensive repairs, but a good insurance policy can minimize the impact these incidents have on your bank account. But what if you are not living in the property you own? There are a few key differences between rental property owner insurance and homeowners insurance.
Rental property owner insurance, also known as landlord insurance, covers the building and other structures on the property, such as fencing, a shed or a detached garage, from damage due to lightning, wind, or other unavoidable incidents. Homeowners insurance covers these as well, but you have to live in the home to qualify for the policy.
When you buy homeowners insurance, you also buy coverage for personal property inside the home. With rental property owner insurance, the only personal property that is covered are items used for property maintenance, such as ladders and lawn mowers. This means landlords should be careful not to leave other personal belongings on the property. As a landlord, you should also strongly recommend your tenants purchase a rental insurance policy to cover any loss to their own personal property.
If a tenant is injured on your property, the liability coverage on your rental property owner insurance will typically help pay for these expenses. With homeowners insurance, this coverage often extends to protect the people who live within the home for incidents that happen both on and off the property.
To help you understand more about rental property insurance or to get answers to any questions you may have, come in and talk to one of our friendly, knowledgeable brokers at Jamieson-Hilts Insurance Brokers Ltd. We have been serving our community since 1865, so you can trust us to have the experience you depend on.