Protect your assets with the right insurance for your needs.
With protection against dwelling damage, loss of rental income, and liability coverage, rental property insurance can provide peace of mind before you start renting out a home, apartment, or other dwelling.
What is rental property insurance?
Rental property insurance—sometimes referred to as landlord insurance—can offer protection that a standard homeowners policy may not, including coverage in case of fire or a tenant falling down stairs and getting hurt.
Rental property insurance policies may offer the following protections:
Dwelling Damage
Rental property insurance typically covers damage to your building structure as well as any kitchen appliances or furnishings you’ve provided to tenants. It may cover damage caused by perils such as fire, wind, and hail.
Loss of Rental Income
If a hazard such as a fire makes your property uninhabitable, landlord insurance may replace your lost rental income. AAA rental property policies include this type of coverage.
Liability Coverage
If a tenant or visitor gets knocked in the head by a falling awning or falls on a slippery walkway, you might end up in court. Premises liability protection may cover the injured person’s medical expenses as well as your legal costs.
What's the difference between rental property and renters insurance?
If a pipe bursts and damages the building, the landlord’s insurance pays the repair costs. If the flooding damages a tenant’s laptop, the tenant’s rental property insurance covers that. As a landlord, you may want to require that your tenants carry renters insurance to prevent any problems or misunderstandings down the line.
AAA offers special “extended replacement cost coverage,” which repairs or replaces your dwelling at today’s costs—up to 150 percent of the policy’s coverage limits. You may also purchase optional coverages for rebuilding your property according to modern building codes following a covered loss.
What's covered by Rental Property Insurance
Rental property insurance is purchased by the building owner and typically covers:
- The building structure itself
- Other structures on the property, such as garages
- It may also provide liability protection, covering medical expenses if someone gets injured on the premises.
What's covered by Renter's Insurance
Renters insurance is purchased by the tenants and:
- Protects the tenants' own possessions against theft or damage
- Includes liability coverage in case a visitor gets hurt in the renter’s unit.
Contact an Insurance Agent
Provide some details about yourself and get a custom rental property insurance quote online.