All Landlord Rental Property Insurance: Update Jan. 20 -2009 All About "Landlords Rental Property Insurance" Information By Insurance Experts

Landlords rental property insurance is defined as a policy to cover a property owner from financial losses connected with their property which they let out. Mainly a landlord insurance policy will cover the building itself with the option of including the contents left within. It covers standard perils such as fire, lightning, explosion, earthquake, storm, flood, escape of water/oil, subsidence, theft and malicious damage. Each insurance policy is different and may or may not include all these items. Most companies will provide the option to have extra cover on top of what is considered the standard cover. These may include things such as accidental damage, legal protection, alternative accommodation costs or rent guarantee insurance.

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Landlord Insurance - Protection Against Devastating Financial Losses

By Tom Lustina

If you own one or more rental properties, than landlord insurance is one of the most important investments you will make. Not only does landlord insurance protect you from paying for damages, theft, and acts of nature associated with your rental property, but it also can protect you from financial liability associated with your tenants. Protecting yourself from the tenants who reside in your rental units is not only a smart financial decision, but can save you from tremendous losses associated damages they may be responsible for.

You are only making money off your rental properties when they are occupied and landlord insurance can make sure that you are financially able rebuild or repair your rental units as quickly as possible in the event of a claim. The sooner your units are back to the condition necessary to rent them, the sooner you are generating income again.

The three main types of are: landlord house insurance, landlord building insurance, and landlord content insurance. Each one covers different aspects of the rental property and it's important that you discuss these differences with your insurance agents.

A couple of common scenarios make it obvious how critical landlord insurance can be. Lets say your rental building experiences a fire and displaces the four units houses there. Now you are responsible to cover the costs of repairs, absorb all the lost rent you are no longer collecting, and potential other damages associated with the evacuated families living there. Without landlord insurance that scenario could mean financial ruin for many people.

Another very common scenario involves a tenant that refuses to pay rent but you are unable to evict them for 30, 60, maybe even 90 days due to local housing laws. With a landlord insurance policy that includes Legal Expenses coverage, all your legal costs associated with suing the tenant for lost rent would be covered for you.

There are many companies that provide landlord insurance in the US. Some of the largest and most popular would be Safeco, Metlife, and Allstate. As with any insurance policy it is important you discuss all the critical details of your property and your financial needs with an experienced local insurance agent.

InsuranceAgents.com provides consumers with immediate access to homeowners insurance quotes, condo insurance quotes articles, and comparisons.

Article Source: http://EzineArticles.com/?expert=Tom_Lustina

Insurance For Landlords - Your Guide to Rental Property Insurance

By Patrick Mahen

Do you own or plan to own a rental property? If so this guide will show you the most important aspects of landlord insurance and some often overlooked coverage. Let's face it; you don't own a rental property because you enjoy dealing with tenants. Your bottom line is profits and asset appreciation right? The cost of owning a rental property can be overwhelming when you consider the mortgage payment, insurance and unexpected maintenance. If done properly you can have a profitable source of income for years to come but there are risks involved.

Being a landlord involves many risks including asset depreciation, destructive tenants and unexpected maintenance. Some of those risks can be contained with a proper landlord insurance policy. Most people don't understand the difference between a standard homeowner's insurance policy and a landlord policy. While most of the coverage remains the same there are distinct differences between the two.

When I sold insurance most of my customers did not understand why they needed to have a different policy when renting out their home. This is a common issue when someone decides to rent out the home they have been living in for sometime. Initially they purchased homeowners insurance but now they have tenants in that home so what do they need. The number one reason why you want to get a landlord insurance policy is so that you are properly covered in the event of a claim. If you don't change the policy when you begin to rent the property any claim can be denied by your insurance company for failure to notify them of the change in status.

Here are two coverage's that a landlord policy includes that is vital to your rental property business:

Liability Protection

While a standard homeowner's policy includes liability protection it is not meant for landlord liability. Take for instance a tenant who causes a fire to your condo unit which damages two other units attached. The other condo owners can file suit against you for the damage to their property. If you don't have a landlord policy your insurance company may not cover you based on the intended use of the condo. Most landlord policies will provide anywhere from $100,000 to $1 million in liability protection. Always opt for the higher coverage as it is only a few dollars more per year.

Loss of Rental Income

Most landlords rely on having tenants paying each month in order to afford the mortgage on a property. If the unit were to become unlivable due to a fire your tenants would have to move out and you would not have that rental income while the unit is being fixed. This is where loss of income coverage is so vital to your business. You can be reimbursed for any loss of rental income you suffer up to your policy limit during the time it takes to repair or rebuild.

I hope this article helped you understand why it is so important to have insurance for landlords. If you want to compare insurance rates from top companies in minutes click here.

Article Source: http://EzineArticles.com/?expert=Patrick_Mahen

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