Landlords Should Require Tenants to Carry Insurance

peter • June 9, 2018

Protect yourself against a negligent tenant

Note: If you want to skip all the reading and go straight to getting a quote, Click HERE
https://www.wallininsurance.com/homeowners-insurance

Scenario: Your tenant starts the fire that ruins your building. Your insurance will pay for the damage to the structure. That's a good thing. But let's back up a bit. Let's determine What started the fire?

If the fire is started by the actions of your tenant - like careless cigarette smoking or leaving a grease pan on the stove - you may be able to take action against them to collect from their mistake.

It's called subrogation. If the insurance company and fire investigator determine that the fire was the result of a negligent action of the tenant there may be actions that can be taken to require the tenants' insurance policy to pay for damages. Your insurance will probably pay for the cost of repairs first, but then get reimbursed by the tenants insurance policy.

I cannot stress how important this can be. Why? Well, why should you have to be responsible for the careless actions of your tenant? Why should your insurance company have to pay the claim? And certainly, why should the price of your insurance increase due to the actions of your others?

Here's the solution: Place a requirement in your lease that requires your tenant to carry renters insurance. It's fairly simple. They purchase a policy for a relatively inexpensive amount (about $120-150 a year) and they show you proof that they have paid the premium for the annual term. Every year when you renew your lease, you obtain the updated insurance.

To get a Quote for Renter's Insurance, Click here.
https://www.wallininsurance.com/homeowners-insurance



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