For a property owner, finding the best landlord insurance is one of the wisest investments to make. With just a few hundred dollars annually, you can guarantee coverage not only on building and rental property content damages, but also on rental issues and damages done by a tenant. But while it is undeniably beneficial to have, finding one that delivers all you need in one neat package can be quite challenging.
To jumpstart your search, here’s a list of must-haves when choosing the best landlord insurance for your rental property.
1. Top of the list is comprehensive coverage for all acts of nature. A spate of natural disasters have afflicted Australia in the past months/years, so it pays to always be ready for whatever devastation may come from cyclones to destructive storms, fire, earthquake, flood, tsunami or irregular ocean movements, civil unrest, and rioting. If your area is prone to any of these, look carefully on the type of natural disaster covered before signing up.
2. Scrutinize what your building’s coverage will actually be paying for. Apart from the structure, it must also cover broken pipes and cables, gas and plumbing, fixed appliances, fixtures, fittings, awnings or exterior blinds, and other external structures. Some insurance companies may even include carpets or loose floor coverings.
3. The best landlord insurance also covers not just complete destruction but more so, partial damages on property. It must also cover rental loss while the property is in shambles. Of course, coverage for damages caused by guests and tenants in conformance to your building’s policy must also be included.
4. It is also wise to check the type of insurance a tenant has. Damages to structures done by tenants are often, entirely dependent on such. If you find it lacking, a strata insurance can come handy to underpin an underinsured space.
5. An excellent insurance coverage for landlords also extends to contents. The best landlord insurance are the ones that can guarantee coverage for items not entirely deemed part of the property’s structure such as curtains and carpets, furniture and furnishings, internal blinds, loose floor coverings, household goods, light and removable fittings, and domestic appliances as well as utensils. Many insurance companies do not clearly state this and knowing which provide this and the limitations allow you to choose well.
6. You will experience rent default at some point. To protect you from rental loss in unforeseen cases like tenant eviction, unexpected death or tenant incapacity to pay, picking a landlord insurance that provides adequate coverage should be carefully considered. Choose one that guarantees up to a full year of rent default. In terms of fixed monetary amount stipulations, go for one that ensures enough coverage for worst-case scenarios.
7. Some of the most trustworthy landlord insurance companies provide extra coverage and incentives. On top of their core benefits, they may also provide legal liability cover, burnout of motorized or electrical appliances, or replacement keys/locks. Some insurance companies may also be keen on giving discounts if you acquire other types of insurance with them.
Do not hold back in scrutinizing every policy shoved your way. Read the fine print. Ask questions. Making sure you got the appropriate coverage is paramount to finding the best landlord insurance. Remember to learn the art of insurance negotiation, too. It may not land you a discount, but may open an avenue for a lower excess or perhaps, a higher claim limit.
Get the right coverage for your situation by choosing the best landlord insurance in the market. Let Landlord Insurance HQ assist you in tailoring a rental property portfolio to ensure top-notch protection of your property. Request for a quote online or call us on 1300 815 344 now!