Landlord insurance is different from home insurance. Home insurance is designed for homeowners who live in their home (property, personal belongings and civil liability). But it doesn’t protect you if it’s a rental property in which you don’t live. Landlord insurance, also known as rental property insurance, protects your rental property. The protection offered by Landlord Insurance is quite extensive. It covers loss of rental income following an insured loss, damage to the building and civil liability if someone is injured in your rental property. Although landlord insurance is not legally required, it is strongly recommended. Being covered against losses and situations beyond your control brings a certain peace of mind, as a landlord.

With landlord insurance, you’ll get coverage on your rental property. If your building is vandalized, damaged by natural events such as hail, lightning or a storm, you will be covered for any damage caused to your property by these events. It will also cover the theft of any items you have installed in your rental. For example, if you rent a fully furnished apartment to a tenant, the tenant is also renting the furniture to you, so you will be covered for theft of the furniture (if stated in the policy). However, this does not cover the tenant’s personal belongings. They will need to apply for tenant insurance that provides coverage for their own belongings.

If you are legally liable for injuries or property damages that occurs on your property, you can be sued by your tenant. With liability coverage, you’re protected from lawsuits when you’re legally legally liable.

If your rental property becomes uninhabitable due to damage caused by an insured loss (mold, infestation, fire damage) and your tenants have to leave the building, you will receive compensation to cover the loss of rental income. This payment will last until the old or new tenant moves in. Before you buy a Landlord Insurance policy, make sure you know what your policy covers, what exclusions apply and how much compensation you can expect to receive. Policies differ from one to the next, as do the requirements of different owners. For example, if you rent a fully furnished property, you can opt for full coverage instead of basic insurance.

The claims covered have already been mentioned. Now, here are the main types of situations that landlord insurance doesn’t cover:

• Freezing of plumbing pipes
• General wear and tear of a property
• Pest control
• Earthquakes (unless included as additional coverage in your insurance policy)

It’s essential to know what they are, and what exclusions you may face if you don’t comply with the conditions set out in your insurance policy.