Reasons Why Landlords Request Renter’s Insurance
Insurance is not only binding on property owners, but it is also compulsory for renters too. House insurance only covers the building but not the belongings in it. Some tenants make mistakes as they always assume the insurance policy that covers the building also covers the contents inside it. As a result, it usually leads to a legal battle in circumstances where there is an unexpected occurrence.
For this reason, 95% landlords now mandate that their tenants must have a renter’s policy that will cover their belongings to be on a safer side in case anything happens. Let’s look at reasons why landlords mandate their tenants to get a renter’s policy before allowing them to occupy their property and take a look at a reputable company like Lemonade does their renters insurance policy.
Reduces lawsuit risk: Obliviously, there is no how a landlord can get a cover for a tenant’s belongings because of a lot of reasons, i.e., the quality and value of the possession, trust and so on. However, in situations like this, if the landlord does not want to pay for things he/she knows nothing about, he must ensure the tenant he is giving the house must have a renter’s insurance.
Property damage: Lemonade insurance points out that if there is a fire outbreak or any accident not eligible to the tenant’s fault, they may turn to you as the landlord to pay for damages as your insurance may not cover tenant’s property. With this view, the landlord must ensure the tenant gets their insurance to cover such problems.
Gives room for good pet relationship: 68% of US households own a pet; there is a high tendency that pets like dogs can harm someone in the house. With renter’s insurance, there is hope that the bill for the recovery of the affected person is the responsibility of the insurance company. With the help of renter’s insurance, the landlord cannot be liable.
Rent coverage: sometimes, a fire outbreak may occur in a rented apartment, and the explosion may not allow the tenant to have a comfortable stay. With renters insurance, the tenant will be able to cover costs and pending when the place is habitable again or till the tenant can relocate to another apartment.
Dwelling coverage: this kind of coverage helps to cover a renter in case there is damage to the wall of the tenant’s apartment. The insurance company that issues the renter’s coverage will be responsible for the affected area of the building.
It is few among landlords that do not request for renter’s insurance before giving out their houses to tenants. Among the majority that requests for the policy, they always insist on Lemonade renters’ insurance. Their reason for insisting on this company is because they are very popular when it comes to insurance and that is their area of specialization. If you look to understand better why landlords request for renters insurance before giving out their house to occupants, try to visit or contact lemonade insurance. They have handled a lot of insurance cases, and have gotten good reviews from users.