As A Landlord, Should I Require Tenant’s To Carry Renter’s Insurance?

Having an investment property can be a great return on investment. But on the contrary, you do have the management aspect. This can include maintenance, leases, insurance and etc. One of them being your insurance policy. In this blog were going to cover why your tenants should have renter’s insurance, or better known as a homeowners policy number 4.  If you want to know more about landlord insurance, please visit this link.

What Is Renters Or Tenants Insurance or Known As A Ho-4?

A HO-4 policy, also known as renter’s insurance, covers only the tenants interest. This includes the following coverage,

  • Personal Property
  • Medical Payments
  • Loss Of Use
  • Personal Liability
  • Other Coverages are available

So Why Should I As Landlord, Require  My Tenants to have Tenants Insurance?

To avoid any legal problems or losses from your tenant.  A Renters Policy has a personal liability built in.  If your renter were to encounter any legal problems or losses, she/he is covered.  Here are some examples of what could happen.

-A renter invites a guest over and they slip and fall on the premises.

-They could accidentally start a fire in the premises.

With renters insurance, any type of law suits, or premises losses are going to fall on their policy. If your renter does not have insurance, you as a landlord are going to have to use your own policy.  Requiring your renter to have insurance can avoid huge headaches in the event of a loss or legal problems. The last thing you need to deal with as a landlord is getting sued for one of your tenant’s actions. In additon if a loss does occur on your policy, chances are your premium is going to increase on next renewal.

How much personal liability coverage should your renter have?

All you should be worry about on your tenant’s policy is their personal liability.  I would recommend a $300,000 liability requirement and it costs the tenant $15.00 – $30.00 per year extra.  This for the most part will cover most law suits that a tenant could encounter.  This for the most part covers the average cost of a dwelling or condo if were to completely burn to the ground.  If you feel that this will not be sufficient, your renter could go with a $500,000 personal liability or higher.

How much does Renters Insurance cost my tenant? 

Depending on how much coverage the tenant decides to go with besides your liability requirements, it can run as low as $80 per year all the way up to $300.  A lot of this depends upon the renters credit, previous losses, and how much other coverage they decide to buy and etc.

How do I get Proof Insurance As A Landlord?

You should get a Certificate of Insurance or Coverage Confirmation from the company or agent writing the insurance policy. I would also recommend getting listed as an additional insured on the policy if possible. That way you are always getting notified on any major policy changes, but mostly if the policy is being cancelled for any reason. Just like the insured, you get a policy packet  in the mail with detailed coverages, and notifications just like the tenant would.

Please contact us with any questions or for any quote requests for both Landlords and Tenants.

What Type Of Insurance Policy Do I Need For A Rental Property?

Rental property’s can provide great residual incomes, and right now with the rental market in demand, a lot of people are putting their house’s up for rent or buying investment properties. Before you do this, your insurance policy must be written correctly, or else you could have some major gaps in coverage.

First of all lest highlight some of the most common types of properties.

  • Apartment Building
  • Condo
  • Dwelling

Apartment Building Insurance

This policy is designed for a building that houses multiple units, usually more than 3.  The policy includes building coverage, a general liability, business personal property coverage, loss of use, crime coverage and more.  This policy is strictly designed for apartments.

We usually write these policies through Travelers, Philadelphia or Middle Oak.

Landlord Condo Insurance

This policy is built for someone who owns a condominium and rents it out. It includes interior dwelling coverage, loss of rent, medical payments, and landlord liability. You can add things such as extended liability coverage, and loss assessment. This policy is usually written under Dwelling Fire Policy Form 8.

Landlord Dwelling Insurance

Investment houses are either written under a DP-1 or a DP-3. Or known as a dwelling fire policy. Most policies are written under a dp-3, because it gives you replacement cost coverage on the dwelling, which is better than the dp-1 actual cash value coverage on a dwelling. Always make sure you have the following coverages on your dwelling rental property.

  • replacement cost on dwelling(dp-3)
  • extended dwelling coverage, at least 120 percent
  • landlord business property(stove top, dishwasher, fridge, washer dryer, etc)
  • other structure coverage
  • loss of use, for at least 12 months
  • landlord liability
  • sewer back up
  • Ordinance & Code Coverage

If you have any questions or want a quote contact us.

Hotel & Motel Insurance Through Philadelphia Insurance

As you have been seeing, I have been going over a lot of programs, that we write through Philadelphia Insurance. They have a full line of great commercial and business insurance products. One of them being motel and hotel insurance. Philadelphia Insurance Companies specializes in the Hotel Industry. We understand how to provide a flexible and comprehensive insurance program for risks all across the United States. Lets take a look at the product they offer for hospitality. All information was provided through phly’s website.

Benefits of the Program

  • Crime, Boiler, and all property coverages under one policy
  • Coverage is included for guest personal property, foundations, underground pipes, flues, drains, and retaining walls that are not a part of the building, bridges, roadways, walkways, patios, and other paved surfaces
  • Owned automobiles including airport shuttle vehicles
  • Liquor Liability
  • Directors & Officers Coverage Available

10 Reason’s Why to Choose Phly:

1. One of the broadest property enhancement forms in the industry. This coverage includes but
is not limited to: Property Off Premises, Fire Department Service Charge, Food Spoilage,
Valuable Papers, Accounts Receivable, Debris Removal, Sewer and Drain Back-up and
Ordinance or Law, Alternative Key System, Reservation System, and Credit Card Slips
2. One stop shopping for all your insurance needs. Property, Equipment Breakdown, Inland
Marine, Crime, General Liability, Professional Liability, Abuse and Molestation, and
Automobile coverage bundled into one convenient policy
3. Ultimate Cover – broad proprietary property coverage form including Flood and Earthquake
where available
4. Blanket limits with agreed value (no coinsurance) available
5. Garagekeeper’s Liability coverage available
6. Liquor Liability coverage available in most states
7. Automobile coverage available for hotel passenger vans, including airport shuttles
8. Hotel guest inconvenience coverage available
9. Guest personal property coverage included
10. Interest-free installments available for accounts that generate at least $2,000 in premium

Bed and Breakfast Product:

Whether you run a cozy bed & breakfast in Colorado, or a country inn in Wyoming, we can offer you the best insurance coverage to fit your needs.

This insurance program focuses on facilities located in resort and destination locations, such as ski towns and national and state park communities. Target risks provide guest lodging for an average of 2-3 nights, and in addition to providing breakfast might offer restaurant and bar facilities or recreational activities to their patrons. Frame, unprotected property is expected.

Coverage We Offer:

General Liability
• Comprehensive General Liability – Limits to
$1,000,000 each occurrence/$3,000,000 aggregate
• Premises Liability
• Personal Injury Liability
• Employee Benefits Liability
• Liquor Liability coverage available
• General Liability Deluxe endorsement for hotels includes
coverage for general aggregate per location, several
types of additional insureds and reservations and
wake-up service liability
• Blanket limits with large in-house capacity
• Ultimate Cover – broad proprietary property coverage
form including Flood and Earthquake where available
• Able to provide Crime, Boiler, and all
Property coverages under one policy
• No separate form needed for computer property, this
coverage is included under the personal property limit
• Coverage is included for foundations, underground pipes,
flues and drains, retaining walls that are not a part of
the building, bridges, roadways, walks, patios and
other paved surfaces
• Automatic coverages, including, but not limited to arson
reward, contract penalty clause, excavation and
landscaping, fire sprinklered or burglar alarm upgrade,
new construction, accounts receivable, and guest
personal property
• Elite Property Enhancement Endorsement includes
coverage for Emergency Vacating Expenses,
Automated External Defibrillators, Alternative Key
System, Hotel Guest Inconvenience Expense,
Credit Card Slips and Guest Personal Property
• Owned auto including airport shuttle vehicles
• Non-owned auto
• Hired auto
Crime and Fidelity
• Money and Securities
• Money Orders and Counterfeit Paper Currency
• Employee Dishonesty
Umbrella/Excess Liability
• Large Excess Limits available
Bell Endorsement
• Includes $50,000 limits each for Business Travel
Accident Benefit, Donation Assurance, Emergency Real Estate
Consulting Fee, Identity Theft Expense, Image Restoration
and Counseling, Key Individual Replacement Expenses,
Kidnap Expense, Terrorism Travel Reimbursement, Workplace
Violence Counseling. $25,000 limits for each Conference
Cancellation, Fundraising Event Blackout, Political Unrest
($5,000 per employee), Temporary Meeting Space
Reimbursement and $1,500 Travel Delay Reimbursement
Crisis Management Enhancement Endorsement
• $25,000 limit for crisis management emergency response
expenses incurred because of an incident giving rise to a “crisis”

Please contact us for any questions or a quote.

Shooting Range Insurance | Get A Free Business Insurance Quote

Shooting Range Insurance Program

Let us build a unique insurance policy for your shooting range. We offer an industry leading product. We can insure all operations including rifle, pistol, shotgun or bow ranges. We can also cover sporting clay facilities.

Work with one of our agents and get a superior insurance policy, that no other agency can offer. Our agents are licensed and understand insurance.

Operations We Insure

  • Indoor/Outdoor
  • Pistol Ranges
  • Shotgun Ranges
  • Rifle Ranges
  • Bow Ranges
  • Clay Facilities
  • and more!

Our Business Owners Policies Go Above And Beyond The Industry Standard

We pride ourselves with our company’s insurance products. We know our policies have comprehensive coverage which most insurance policies do not have.  Take a look a break down of coverages we offer.

  • General Liability
  • Building
  • Business Property
  • Inventory Coverage
  • Product Liability
  • Special Equipment Coverage
  • Loss Of Business Income
  • Excess/Umbrella Liability
  • Workman’s Compensation
  • Commercial Auto Insurance
  • Employee Dishonesty
  • Accounts Receivable
  • and more!

For more details on our Business Owners Policies, Please Click Here.

Our Companies Claims Process Is Excellent

We only write insurance with companies that have an excellent claims process. A claim can be complicated, but our companies will treat you fair and keep the process as simple as possible.

Personalized Service

Our agency is family based and understands insurance. You will work one-one-one with an experienced agent who will find a policy that best fits your business needs. We believe in “good old-fashioned customer service”.

Get A Free Business Insurance Quote

Please contact us during normal business hours at 1-888-270-0995. Or use our quick form and we will contact you right away. You will work with a licensed experienced agent, who will work with you, to get a free competitive quote.

So What is an HO-5 Policy?

When you are purchasing a Condominium, you need an HO-5 form.  This form is designed with the Condo in mind.  It provides open peril coverage on personal property and contents of the insured, in addition to open peril coverage on the dwelling and other structures.

Losses to personal property and contents are paid on an actual cash basis and losses to the dwelling are paid on a replacement cost basis.

Find out more by contacting Denvers Insurance and speak to one of our Insurance Agents.