May 2nd, 2012
Why is Having Proper Insurance Important for me as a Landlord?
Having proper insurance for your rental property is an important aspect of managing your business. Many insurance companies in Ontario that provide homeowners insurance do not provide insurance for rental properties. It is the landlord’s responsibility that they have disclosed to their insurance company the nature of the property and what it is being used for.
What Happens in the Event of an Insurance Claim?
In the event of a claim, having your rental property properly insured will prove to be a faster and easier process of settlement. In the event there is a claim and you do not have insurance or the incorrect policy, this will void any coverage on your property.
What Coverages and Features Do I Need?
Insurance for your building, appliances that you own, rental income and sewer backup are among the most important coverages that you as a landlord should consider when evaluating your insurance. Important features on your policy should also include the ability to add multiple properties on one policy, higher liability limits and monthly payment options.
OLA Membership Benefit
As a member of the Ontario Landlords Association, you qualify for a group home and car insurance rate through Humberview Insurance Brokers in partnership with Unica Insurance. For your rental properties, Humberview Insurance offers multiple insurers depending on the type of rental property you own.
As a landlord you should take precautions when renting to tenants. One precaution is to make it mandatory that tenants obtain tenants insurance for the duration of their tenancy. Landlords should also insist that they appear as an additional insured on the policy. This notifies you in case the policy is cancelled.