What is landlord insurance?

What does a dwelling fire policy cover?

A dwelling fire policy can offer protection for landlords through these coverages:

• Dwelling: Damage to the structure of the rental property due to a covered peril may be covered under dwelling coverage.
• Personal liability: This coverage may pay for lawsuits against you or situations when you're liable for injuries or damages. For example, personal liability coverage may pay for your tenant's medical bills if they fell on the stairs due to a broken handrail.
• Personal property: A dwelling fire policy may pay to repair or replace your belongings damaged by a covered peril under personal property coverage.
• Loss of rental income: Many policies may protect the landlord against loss of rent in certain situations listed on a dwelling fire policy, if the rental home is uninhabitable due to damage from a covered peril. For example, your policy may pay you for lost rental income if a tree falls on the house, your tenants can't stay there, and don't pay rent. You won't have coverage if your tenant can't pay the rent because of a job loss or financial problem.

What doesn't a dwelling fire policy cover?

• Evictions
• Certain natural disasters (e.g., floods, sinkholes, and earthquakes)
• Maintenance issues and wear and tear, including mold and pest damage
• Intentional tenant damage
• Tenants' personal property
• Loss of rent due to tenant's job loss

Is a dwelling fire policy mandatory for landlords?

A dwelling fire policy isn't legally required, but if you're financing the property, most lenders generally require it. Without a dwelling fire policy, damage to the home, the belongings inside that you own, or liability claims against you may not be covered.

How much does insurance for landlords cost?

Several factors can affect the cost of a dwelling fire policy, including:

• Location: The area where a rental property is located may influence the cost based on factors like regional risks, property values, and more.
• Condition: Older homes or those in poor condition may cost more to insure due to increased risk of damage.
• Coverage levels: The amount and type of coverage you choose may affect the premium. Higher coverage limits typically mean a higher cost.
• Deductible: A higher deductible can lower your policy's rate, but you'll pay more out of pocket if you file a claim.

How to get a dwelling fire policy through Progressive