If you have some extra property, renting it out can be a great way to bring in some extra income! Many people decide to become landlords, either full-time or to supplement other income. Selden, NY landlords are legally required to maintain insurance on any dwelling that they are renting out. While your basic property insurance may keep you within the legal limits, XL Brokerage Inc. encourages all our readers to consider a policy specifically designed for landlords. Here’s why!
You could be held accountable for injuries on your property.
If a tenant or a guest injures themselves on your property, they could potentially sue you to cover their medical expenses. Injuries you could be held liable for include those that occur due to fault in the property, such as an uneven sidewalk.
Your basic insurance probably doesn’t cover natural disasters.
Protection from acts of nature, such as floods, is as important for your rental property as it is your own home. Disaster coverage is typically not included in your standard property insurance, so it’s important that you ask to have such a policy added.
Your premiums will be tax deductible.
You can deduct your premiums for basically all insurance you have on your rental property. This includes non-standard policies such as liability and natural disaster coverage!
You can insure yourself from loss-of-income.
Should your property need repairs or become temporarily unlivable due to disaster, a Loss Of Income policy can help you collect the fair rental amount for the property. This policy covers a short amount of time to allow for repair or rebuilding.
You can require your tenants to have renters insurance.
Landlords in Selden, NY are allowed to stipulate that renters acquire their own insurance to cover liability and property damages. However, it’s important to be aware that renter’s insurance likely won’t cover accidents that occur outside their living space.
There are many other benefits to landlord insurance too, we’re only scratching the surface. Contact XL Brokerage Inc. to learn more today!