As a landlord, you get to make the rules with your properties, and you should include all of your rules on the lease you require your tenants to sign. One rule you may want to institute with your properties is requiring that all tenants have renter's insurance. Renter's insurance is protection for your tenants and the things they own, and there are several good reasons you, as a landlord, should require this for all your tenants.
It reduces the risks of lawsuits
When you require that your tenants have renter's insurance policies, they will all have liability coverage included with their policies. Liability coverage is a type of insurance that covers lawsuits that occur when injuries take place on a person's property. If your tenants have renter's insurance, they will have liability coverage. This means that if someone is injured, they will not sue you. Instead, they would sue the tenant. If your tenants do not have renter's insurance, there is a much higher chance that people would sue you if they were injured at your rental properties.
It helps you find better tenants
Requiring things like renter's insurance can also actually help you find better tenants. When you have requirements like this, you have another way to weed out bad tenants. Most good tenants want insurance coverage for their things and will automatically purchase renter's insurance even if the landlord does not require it. They do this because they want to make sure they will have a way to be compensated if anything happens to their units and belongings. If you want better tenants in your units, you can achieve this by having these types of requirements.
You will have fewer responsibilities
The other thing to consider is that when your tenants have their own insurance, it will actually decrease your responsibilities. If, for example, a pipe burst in the building and your tenants had to temporarily move out, they could receive compensation from their insurance companies instead of relying on you for help. You would not have to worry about helping them through this situation, as they would have insurance coverage that would help them.
If you are not sure what types of things you should require as a landlord, you should talk to a property management company for advice or help. They can guide you with the questions you have and can offer services to help your business.
Share19 June 2019
Apartment living can be a trial sometimes. Even the best apartment complexes can have problems, such as noisy neighbors. I experienced this firsthand with my newest neighbors. Between their partying and trashy existence, I was ready to go crazy. Late one night when they were being particularly noisy, I started researching my rights as a tenant. I found out I did not have to live with their inconsiderate behavior. As a public service, I decided to help others through this blog with their neighbor problems. Whether you are dealing with a landlord that will not do any repairs or bad neighbors, I can help.