Rental Property Insurance

Renting out properties can be a profitable business. But just like any other business, the business owner—or landlord—has responsibilities to ensure their business’s success. One essential role a landlord has is to protect their rental properties, which is done by having the appropriate insurance coverage. Rental property insurance, commonly known as commercial property insurance, protects a rental property by covering the costs that may result from a covered loss. 

What Does Rental Property Insurance Cover? 
Rental property insurance may cover damage to a property’s structure and the landlord’s personal belongings, such as appliances or maintenance equipment. This coverage may also offer liability protection for legal or medical costs if a tenant or guest is injured due to a property maintenance issue. Coverage may also extend to loss of rental income if the landlord cannot rent their property because of a covered loss. 

Rental property insurance is often supplemented with additional coverage that may offer cost savings later. Some of these other coverages include: 

• Building code insurance may cover costs incurred by bringing a building up to code after damage.
• Business interruption insurance helps cover lost business income if the property is shut down due to property damage.
• Flood insurance may help protect a property in a flood-prone zone since standard rental property insurance doesn’t typically cover losses due to flooding. 
• Vandalism insurance helps pay for any damage done by vandalism. This is normally not covered under the property insurance, so if the building is in a place where this may occur, it is important to ask your insurance agent if it should be added to your commercial property insurance.