Property Management Company on Insurance?

[Rhondalette W.]

Thinking of turning my rentals over to property management company. The PM company requires me to add them to my homeowners insurance liability as co-insured. Is this a normal request?

[Drew Sygit]

PMC's cannot obtain liability insurance for "slip & fall" accidents by tenants, contractors, mailmen (just got sued for that!) on a property they do NOT have an ownership interest in.

So, just like a mortgage lender requires you to add them as "additinally insured" to your homeowners insurance, PMC's (at least the smart ones) will require you to add them as also in the same way.

We've heard, "additinally insured", called many names, but the concept is all the same.