Regular homeowners insurance does not cover rented property. To have proper insurance on your rental property, you need to purchase a product tailored to your specific needs. There are additional concerns for liability, property damage and other risks when renting a property. While your insurance broker can help you find the right product for your specific situation, we have a couple of recommendations here to show you the scope of what is available.
Humberview Insurance – Insurance for various property types
Humberview Insurance Brokers in Toronto offer insurance for various different types of property, including apartment buildings, rental residential property, student rental property, and others. You also receive a discount with Humberview if you are a member of the Ontario Landlords Association.
New Insurance from Aviva for Landlords Listing on Casalova
In October 2016, Aviva introduced insurance specifically for landlords listing on Casalova.com, although they also offer standard insurance for landlords that own up to three properties as well. This new product, Casalova Landlord Protect, offers up to $50,000 in coverage for unpaid rent, and up to $50,000 for damage to the property. This could be good to add to your insurance portfolio even if you already have standard landlord insurance – just check with your company to ensure that you don’t already have similar coverage before purchasing it. It also requires use of the casalova.com platform for the covered listings, which may not be preferable for some.
Encourage your tenants to get renters insurance
While you would think that it’s common knowledge that your tenant’s belongings aren’t covered in the event of a fire or other damage to the property, it actually isn’t. Many people actually think that the landlord’s insurance will cover their contents in the event of damage to the property, and they’re in for a nasty shock if something happens. When signing your rental contract with the tenant, be sure to let them know that they should consider getting tenant insurance to cover their belongings. It is usually far less expensive than homeowners insurance and is well worth the investment.
Check with Highgate – your property manager
While we are a property management company and not insurance brokers, we can recommend insurance companies and brokers that our clients have had good experiences with in the past. Due to the nature of renting, you almost definitely will have to make a claim of some description over the course of your ownership of a rental property. What distinguishes one insurer from another is not the premium you pay – although that is important – but rather how they handle the process if you make a claim against your insurance. Often, a broker is a better choice than purchasing directly from an insurer because they act as your advocate in the event of a claim – and if something happens with your property you’ll have enough to worry about.
Contact us today for more information on how we can help you manage your Toronto or Greater Toronto Area property.Read more