Do you require Renter's insurance for your tenants?

9 Replies

Do you require renter's insurance for tenants? Will I be responsible if I don't have tenants get them and their personal property is damaged or stolen?

@Robert Huang Yes, we require rental insurance. On occassion we have tenants who balk at getting it, but once we explain that our insurance only covers the building and not their contents they end up getting it. For most people it can be bundled with another type of insurance and it ends up being so cheap it is a no brainer for them.

Yes but historically I haven't enforced the requirement.  I'm thinking about enforcing it in the future....

In my area, I'm not responsible for the tenant's personal property.  For example, if lightening strikes and the air conditioner gets destroyed as well as the tenant's flat screen TV, my insurance company will replace the AC less the deductible but not their TV, and I'm not responsible in my area for the TV.  (This actually happened to me about 8 years ago.)

@Robert Huang

Nope . Where I invest that would not work and basically push me right out of the market when no one else charges it . I tell them to get it though and if they don’t then it’s on them . To most low income tenants beer and cigarettes make more financial sense than 120$ a year renters insurance

I don't require it. I highly recommend it and I have a statement in the lease that explains we do not cover them for theft, damage to personal property, etc. They have to take responsibility for their belongings or carry the risk.

If you do decide to require it, you will not be able to enforce it. Tenant can start insurance, move in, and then cancel the policy. You'll never find a judge willing to evict just because the tenant failed to maintain insurance so it's impossible to enforce.

@Robert Huang we ask them to get it , and if they do not , not our/ your problem. Of course we have our own insurance to cover the property, but their items are not of our concern,

Good luck 

@Robert Huang

Yes we always require tenants to get renters insurance. Often tenants bundle it with their auto insurance which gives them a multi line discount and they end up with a reduction in their insurance bill.

In our area, this can also cover belongings in their car in case of theft or damage.

@Robert Huang Renters insurance is very important to protect you and your property! While disasters can be rare, it's better to be safe than sorry. There are renter insurance packages that start at only $15/month! You can easily explain the benefits of how the renters will be protected and so will your property if something were to happen - and it just avoids future legal problems like you asked.

thanks for the great responses. 

i'll ask prospective tenants to get their own renter's insurance; and hopefully they will. i will add into my lease agreement that renter's insurance was recommended and if they agree to the lease agreement they will waive any right/claims they have against me in the event their personal property including cars gets damage/stolen.

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