The Importance of Landlord and Tenant Insurance
Whether you own a property or rent a property, it is important to carry an active insurance policy to suit your needs. Current data from insurance companies suggest that a high percentage of Landlords and Tenants in Canada do not have the proper insurance protection to minimize liability.
As Licensed Property Managers, we have extensive experience renting and managing units in North Vancouver, West Vancouver, Vancouver, Burnaby, Coquitlam and elsewhere for over 10 years, and we have truly seen it all when it comes to insurance-related problems.
A simple failure to purchase insurance can lead to more problems and long-term headaches for both the Landlord and Tenant. Sudden accidents can and will happen, leading to extensive damage to the property and personal belongings. It is important that you carry an appropriate insurance policy to cover personal property, liability, and additional living expenses. Check out the differences below:
Personal property is the core of your insurance policy. It provides coverage for appliances, clothing, electronics and home furnishings that are stolen, damaged or destroyed by an insured peril. It is important to note that items such as a jewelry, furs and fine arts are only covered up to the limit specified in the policy wording and may have limited coverage available. Higher limits of insurance and broadened coverage can be added to your policy for an additional premium.
Liability coverage protects you anywhere in the world for accidental injury or property damage to others. Example: A guest in your home slips and falls and is injured as a result, or your child accidently throws a ball through a neighbors window which causes damage to an expensive piece of art. Living in a condo increases your exposure to accidental damage due to your close proximity to other units. Personal liability coverage can help cover the legal expenses you incur. This coverage is automatically included in your policy and can be increased for a nominal fee.
Most importantly, in the event that you are unable to live in your unit due to loss or damage caused by an insured peril, this coverage will help to cover out-of-pocket expenses you incur. Additional Living Expenses cover reasonable expenses such as food, hotel or alternate living arrangements, moving and others costs that you would not normally experience while residing in your own home.
Save yourself later, by purchasing and renewing your insurance each year.