Today, we are talking about the importance of renters’ insurance for your tenants. Many landlords ask if their renters need insurance. The answer is always yes. The renters insurance protects the tenants’ belongings and personal property, and it also protects the owner from liability.
The tenant should always have the owner and the Pleasanton property management company listed as an additional insured on the policy. Here’s a scenario that explains why it’s necessary to include those additional parties: If someone came to your home and fell down the stairs and got injured, they might decide to sue. When the landlord and the property manager are also insured, the injured party will not be able to sue everyone. That’s why it’s so important to have those parties listed.
This insurance also protects the owner against catastrophic damages caused by the tenant. For example, if the tenant starts a fire at the property, the renters’ insurance policy would protect the owner from a total loss. It’s easy and inexpensive for a tenant to get this type of insurance. You can make this insurance part of the move in process. Ask the tenants to produce a copy of their insurance declaration page. That way, you can be sure the renters’ insurance policy is in place before they move in.
If you have any questions about renters insurance and why it’s necessary, please contact us at Action 1 Property Management. We’d be happy to tell you more.