Insurance recommendations for rental flooding

[Margaret Nagel]

I have a question regarding future protection against catastrophic damage to a rental. We require that our renters carry renters insurance and we carry homeowners insurance on our rental property. Our tenant just flooded our entire downstairs of our townhome. This was discovered when the water finally made it into the adjoining unit. In the future, is there any further insurance coverage that we should have for ourselves or require of our renters to make sure that we are better protected in the future? We are blessed in the fact that insurance has covered most of the damage thus far, however we did have to cover $2800 of the deductible as the renters security deposit was only $2200 (equivalent to 1 months rent).

Any constructive recommendations for future changes to the lease or insurance coverage would be greatly welcomed.

Thank you!