Do you require tenant insurance?

Question

Hi,

I just wonder if you normally require your tenant to buy  tenant insurance?

Thanks.

Mark N.A · Answer

If you can compel your tenants to purchase it by all means do so.

That way, if the tenant sets the place on fire (like one of mine did), your insurance company can go after their insurance company.

Rick Barker · Answer

It should be specified in your lease.  Have your lawyer verify the wording.

Explain it and have them initial it.  When you go to court take the lease and show the judge that the tenant was aware that they were encouraged to have Renters Insurance.

George P. · Answer

I require it in the lease and ask for proof of insurance upon moving in.

Chad Pierce · Answer

I make it a MUST as part of my lease. I give them 30 days after move in and they have to have the Insurance Company fax me a copy of the policy. When they renew the lease, I ask for another copy to make sure it is current. So far, I have not had anyone complain. I am diligent in explaining the benefits to them when they are signing the lease.

Bienes Raices · Answer

I looked into this lasy year, mainly because of the dogbite liability issue. I decided it wasn't worth the bother. If you invest in a low vacancy market and you can compel them to do it, I say go ahead, but here in Orlando it's hard enough to get someone to pay the security deposit, let alone something extra. I ended up putting some language in the lease urging them to purchase renter's insurance.

Maryann L. · Answer

AW,

I require it.  It's part of my lease.  I don't want something happening to their stuff and them trying to get that money out of me.

We had a water leak due to horrible horrible weather..my own residence had a ceiling leak too.  The tenant wanted us to cover some blinds she bought that got ruined.  I told her that she needed to put a claim into her insurance company.  That ended that discussion.

Corey Demuth · Answer

When I rented in Queens from a large apartment company they had a page dedicated to this. It basically just started that the tenant agrees that he or she has been advised to purchase his or her own renter's insurance and understands that his or her belongings are not covered by the landlord's policy. I had to sign and date it.

Rick Barker · Answer

Here is an example.  Please make sure it applies to your state laws and is verified by a lawyer before adding it to your lease:

Insurance. Owner does not insure Tenant, the members of Tenantâ€™s household, Tenants guests, invitees, licensees, or any other Tenants or persons in or about the Premises, from any loss occurring in or about the Premises, whether from bodily injury or property damage of any kind whatsoever.
Owner strongly recommends that Tenant maintain, at Tenants sole expense, a standard type of Renters insurance policy or its equivalent, which provides limits of liability adequate to protect Ownerâ€™s and other Tenants property, as well as Tenants personal property from loss by fire, burglary, water and other perils. Without such insurance, Tenant could incur substantial financial burden in the event of fire or other perils outside of Ownerâ€™s control.
Tenant hereby releases Owner from any and all claims for damages or loss to Tenants personal property in, on, or about the Premises that are caused by or result from risks that are or would be insured under the insurance described above. Tenant hereby waives any and all rights of recovery and rights of subrogation against Owner in connection with any damage or claim that is or would be covered by such insurance, except for damage resulting from negligent acts of Owner.

A W · Answer

I just worry that if something happened to the tenant's stuffs, the tenant may consider going after me if he did not buy tenant insurance

Thanks.

Rick Barker · Answer

No but I strongly advise it.  There is also a paragraph in the lease (that they initial)  which explains what my insurance covers and does not cover (their stuff).

Do you require tenant insurance?

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