Let's Talk About Landlord Insurance

[Chandler Rehbein]

Hi there!

My wife and I are in the process of putting our first property up for rent. We are currently shopping around for the insurance that best suits our needs, however, we have quotes ranging from $600-1600. Each quote is similar in coverage, so we are having a hard time understanding how there is such a huge difference in price between the companies. All agents seem to be giving us different information, so I am here to ask a few questions from those who are more experienced than myself. I want to cover my ***(et) without paying for unnecessary ********.

That being said...

What are you willing to pay a little more for and where are you willing to pinch a few pennies?

Are there specific questions that we should be asking these insurance companies? 

[Kevin Hoag]

@Chandler Rehbein When it comes to insurance companies they are not all created equal and certain companies target specific types of insurance so while the coverage items may be the same the pricing is far different. You will want to make sure to have several key coverage items. Hopefully this will help you out.

Property coverage - most likely going to be replacement cost coverage

Separate structure coverage - typically built into the policy for detached garages, sheds, barns

Personal Property - typically a low amount $1,000-$5,000

Premises liability - I always recommend maxing this coverage out on your policy

Landlord Personal Injury Liability- This coverage will be equal to you premise liability

Loss of Rents - carriers offer 12 months, 24 months or a specified amount typically 10% of your property coverage (very helpful if you ever have a claim that result in the inability to continue renting out the property for some time)

This is the primary coverage that you will want to make sure that you have. If you have a specific questions about a carrier or coverage item let us know.