Landlord insurance is a policy that provides added financial support to protect assets, property and income. These types of policies allow homeowners to choose the amount and type of coverage required in each situation. Some of the programs provide minimal coverage while others are quite extensive in their structure. In many cases, the additional insurance helps owners prevent financial ruin and retain ownership.
Not everyone wants or needs this type of insurance. Whether you are leasing property to another party, as the landlord you should protect your investment. Even a vacant lot can be covered by this policy in case someone is injured while crossing the property or playing on it. The landowner or property owner adds security and increases their financial safety net by obtaining supplemental coverage.
These policies are premium based and payments may be yearly, bi-annually or monthly depending on the arrangements with your agent. If a situation arises and there is a need to file a claim, the first step is to call the agent and discuss the situation in detail. The company has steps to follow when filing a claim, and they often need to inspect the property, obtain any police reports, accident reports or legal filings available. They then review the case and discuss their solution with you.
These policies come in a variety of coverage levels. They can be as limited or as extensive as needed for the situation. A rental property may require more detailed coverage than an empty lot. Very often, the landowner determines the level of coverage they purchase in regard to the value of the property in question.
Landlord insurance helps landowners, and various property owners, protect their financial investments. An injury can quickly lead to a lawsuit that endangers your economic situation. Damages due to tenants, weather conditions or fire rapidly add up and may require extensive repairs that cost thousands of dollars. This insurance policies add a safety net and additional support during these stressful times for the landowner, and the other parties involved.