Renter Insurance Mandated By Landlord - What Coverage landlord must mandate?

[Andy S.]

Hi All, I am a landlord in NJ and am seeking your guidance on what kind of renter insurance coverage I must make mandatory to the tenant.

1) So far I have been asking for following bare miniumum coverage. Is this coverage adequate? Am I missing anything I must add/modify?

                    Personal Property: $30,000

                    Personal Liability: $300,000

                    Replacement Cost: Included

                    Medical Payments: $1000

                    Loss of Use: $6,000

                    Property Damage to Others: $500

                    Mold Property Damage: $10000

                   Mold Liability: $50000

                  Tenant Pet Damage: $500

                  Additional Interest: Myself (the landlord)

2) With above coverage added to renter insurance, do I make it mandatory for the tenant to have a separate pet liability insurance?

3) Do I make it mandatory to have me added as Additionaly Insured?

Any guidance would be appreciated.

[Nathan Gesner]

Quote from @Andy S.:

You can't dictate that the tenant insure their personal property, and you don't know how much their personal property is worth. I would remove the personal property coverage from your list. Make recommendations if you want, but don't require it.

$100,000 - $300,000 is standard and sufficient but talk to your insurance agent and they will help you get clear. You want enough to protect you if the tenant causes a kitchen fire, flood, etc. In fact, your insurance provider can give you guidance on all these limits.

$500 seems low for a pet. A bad tenant can easily allow their dog to cause thousands in damages, from torn screens to scratched doors to soiled carpets. Again, think about the animals you are allowing in, what they can potentially do, then talk to your insurer for guidance.

Yes, you want to be listed as "additional interest" on every policy. Their insurance provider will send you proof of coverage, and you'll be notified any time the policy lapses or is canceled.