Transforming Risk into an Advantage
Habitational insurance is a form of liability insurance that provides coverage for landlords for claims arising from injuries to tenants or damage to rental properties due to storms, fires, theft or vandalism. In certain locations, this type of insurance policy can also include earthquake or flood coverage.
Landlords are able to benefit from acquiring habitational insurance for a condominium, an apartment complex or any other similar type of rental property.
TYPES OF PROPERTIES
Senior Living Facilities
All Risk/Special Perils including Wind, Flood and Earthquake
Directors & Officers Coverage
Employment Practices Liability
Errors & Omissions
Cyber & Privacy Liability
Kidnap & Ransom
Areas of Habitational Insurance Coverage
Most habitational insurance policies typically include four primary areas of coverage. This includes protection for the landlord and the tenant, legal costs, natural disasters and theft or damage from other criminal activity.
If a tenant sues for an injury he/she sustained on one of your properties, a habitational policy can provide for the associated legal fees.
The sum of these costs will vary based on the specific factors including the nature and severity of the injury and the state where the event occurred.
Coverage Of Natural Disaster Costs:
A habitational insurance policy can also cover the costs of repairing or replacing structural damage resulting from natural disasters such as storms and fires. Certain areas in the coastal states (e.g. California, New York, etc.) are at higher risk of flooding than other regions, and the same is true for earthquakes (which occur frequently in California, Oregon, Illinois, South Carolina, among other states); if you own rental properties in any of these areas, you may acquire additional protection against such disasters.
A 2007 survey conducted by the National Association of Insurance Commissioners revealed 51% of respondents mistakenly believed their homeowners’ insurance policy covered damage resulting from a main water line break; another 33% thought that flood damage was covered. Ask your insurance company exactly which natural perils will be included in your selected policy.
Helps To Provide Protection Against Theft:
Another area for which habitational insurance provides coverage is protection against incidents of theft. This type of coverage protects you against losses of property belonging to other individuals that are on your premises. Once again, you should remember to ask what your limits for theft coverage are and whether all types of personal belongings (including high-value items) are included.
Provides Security To Your Investment:
Your rental properties represent a significant investment; therefore, it is important to protect your assets with the appropriate type and amount of coverage. The financial damage from a single occurrence of injury or vandalism could take a long time to recoup without the benefit of insurance coverage.
We Can Bundle Your Policies & Save You Money
Home & Condo
Landlord & Tenant Protection:
First and foremost, a habitational insurance policy will protect both you (the landlord) and your tenants. This type of policy covers incidents of vandalism on residential properties; specifically, it will pay for any damages to your property (e.g. walls, floors, etc.) and its contents (furniture, HVAC systems, etc.) that result from such actions. As with any other type of policy, be sure to ask your insurer about your coverage limits.