I may have the opportunity to rent out my furnished rental long term. What is the best landlord insurance and umbrella policy to use? Looking for specific companies and coverages that would best protect myself. thank you!
It really depends on where the properties are located; their age and their condition. I would speak to your independent insurance agent to have them find the best solutions and then you can review their coverage and reviews etc. A 60 year old property and a 10 year old property; will most likely not find the best rates at the same insurance company. I have had properties only 300 yards apart that were insured by different companies because different companies have different risk tolerances (and prices) for one reason or another.
It really depends on where the properties are located; their age and their condition. I would speak to your independent insurance agent to have them find the best solutions and then you can review their coverage and reviews etc. A 60 year old property and a 10 year old property; will most likely not find the best rates at the same insurance company. I have had properties only 300 yards apart that were insured by different companies because different companies have different risk tolerances (and prices) for one reason or another.
Realtor · Ogden, UT · Member since 2019 · 338 posts · 415 votes
3y
Hi Alyssa,
My advice would be to simply find a great real estate savvy insurance agent in your area.
Recently, I switched over my personal and rental properties over to a great agent and he showed me that my prior umbrella policy was too expensive so he simply increased the liability coverage on all of my rentals. It raised the annual premium some but it was a lot cheaper than the umbrella policy and I ended up with more coverage than before.
Go to a local real estate meetup and ask the attendees who's the best insurance person in your local market and go get their advice and rates!
I may have the opportunity to rent out my furnished rental long term. What is the best landlord insurance and umbrella policy to use? Looking for specific companies and coverages that would best protect myself. thank you!
Alyssa, if this is your only rental, you will want to start with partnering with your Home & Auto carrier. They may be able to offer some below market pricing if you have good history with them.
If you have multiple companies for your Home & Auto, then your best option could be a stand alone policy. These policies will be rated on your personal insurance score. Because of this individual pricing, results can be much different from one investor to another.
You will want to connect with an Independent Agent to expose you to multiple different carriers.
Insurance Agent · all 50 states · Member since 2022 · 184 posts · 122 votes
3y
Be sure to talk with an insurance agent that is familiar with Real Estate Investors needs, who understands landlord policies, and can educate you in the different available coverages. Insurance can be a huge asset to you investing portfolio instead of just a line item expense.
Rental Property Investor · KC, MO · Member since 2015 · 38 posts · 50 votes
3y
Hey Alyssa! Great question. In insurance, there is technically no mid-term range, policies either fall into short-term or long-term rentals. Carriers typically look at anything under 6 months as short-term; however, some carriers extend this to include anything under 12 months. The type of insurance policy will depend on the carrier you are working with. My recommendation would be to chat with licensed landlord insurance experts who can look at your specific case and help you find the best policy for your needs.
I recommend asking about the following coverages:
Liability coverage
Vandalism and Malicious Mischief coverage is always worthwhile to have
Bed bug coverage is nice to have, but not always necessary