Four Reasons Your Landlord Requires Renters Insurance

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Landlords can require that you obtain renter’s insurance for a number of reasons, but, basically, it’s all for the common good as this type of insurance protects you from liability and the loss of your belongings due to theft, vandalism, flood, tornado, earthquake or fire. The following reasons serve to emphasize this point.

Reason #1 – Reduction of Liability

Because landlords do not want to lose good tenants due to unanticipated lawsuits, they typically like their occupants to carry renters insurance. For instance, someone could sue you as a result of being injured while visiting you in your apartment. Typically, a landlord’s policy would not be helpful in this regard. Even if he could be of assistance, he could lose quite a bit of money by paying for any claim made with respect to injury, which would also cause his own insurance premiums to rise significantly. Therefore, it helps the landlord as well as aids you from any liability. It not only keeps you from being sued, it also covers any medical expenses if someone is indeed injured in your apartment.

Reason #2 – Payment of Accommodations

Another reason landlords prefer that their tenants carry renters insurance is that such coverage can be used to pay for a tenant’s hotel accommodations should he need to leave his apartment for reasons of remodeling or repair. If you acquire renters insurance then, you don’t have to worry about what living arrangements you’ll need to make if your apartment needs to be renovated. Likewise, the landlord can undertake any kind of work on his property without worrying how he’s going to provide accommodations for his tenant while the work is being done.

Reason #3 – Payment for Damages

Landlords often desire that tenants carry renters insurance in case, for instance, a tenant’s items are damaged because of  structural damage, fire or flooding. For example, if your neighbor upstairs has a fire in his apartment which results in structural damage as well as the loss of some of your own belongings, the insurance can pay for the affected valuables. While the landlord can pay for the structural damage itself with his insurance, he usually isn’t equipped to pay for the replacement costs of his tenants’ belongings as well.

Reason #4 – Coverage for Replacement

While a landlord can insure his own building against damage from natural causes, he can’t really cover the belongings, as indicated, of his renters. Therefore, with renters insurance, you can replace your furnishings as well as any electronics should your apartment building be damaged or destroyed by natural occurrences or if any of your items are stolen from your apartment or damaged by vandalism. By using renters insurance to cover any replacement costs, you lift a great burden from your landlord’s shoulders with respect to keeping you as a tenant and reducing any future misunderstandings.

Landlords have several good reasons to ask that you obtain renters insurance. You, too, have several good reasons to consider it as a good investment for yourself and those in your household.


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