Buy landlord's insurance or tenant buys liability insurance?

[Guka Kagu]

How does home insurance works when it comes to investment property? Owners usually put in the lease that tenant will be responsible for insurance.

What happens if tenant doesn't pay the insurance or miss a premium or do they pay upfront for the entire year? Does it cover the property too? 

[Greg Scott]

It appears you are confusing two very different things.

Many owners require their tenants to have renters insurance.  Renters insurance primarily covers the residents belongings.

As an owner you should get your own insurance to protect your asset and for liability protection.  The bank will probably require you to have it anyway.  You would NEVER rely on a tenant paying this for you and it would be irresponsible to ask them to do so.