Landlord insurance is a necessary expense once you have invested in rental properties. However, you don't have to pay an arm and a leg for the coverage. Here are a few tips to help you secure inexpensive landlord insurance for your property.
Maintain the Property
Maintain your property to reduce the risk of damage. For example, a storm is more likely to damage a poorly-maintained roof than a well-maintained one. Proper maintenance reduces your insurance carrier's risk exposure, and the insurer may reward you with low premiums.
Fireproof the Property
A fire outbreak can cause a devastating loss to you and your insurer. Invest in measures that reduce your property's exposure to fire damage. Here are a couple of things that work.
Install Smoke Detectors
Most fires start small before blowing up into devastating infernos. The smoke detectors will alert you to small fire breakouts so you can put out the fire before it becomes serious.
Automatic sprinklers can help put out fire outbreaks before it causes serious damage. The sprinklers come on when they sense a significant temperature rise that might mean a fire outbreak.
Invest in Security Measures
Criminal attacks can trigger insurance claims in two main ways. Criminals can damage your property; for example, thieves can steal the copper in your HVAC units. Secondly, your tenants can sue you for their losses by claiming inadequate security from you.
You can install motion detectors and alarm systems that alert you to the prescience of intruders. You can even design a security system that alerts the authorities directly in case of an attack.
Enforce a Pet Policy
If you allow pets on your property, especially dangerous pets, then victims of the pets' attack can sue both you and your tenants for damages. You can have a "no pet" policy or allow some pets (the less dangerous ones) and outlaw dangerous and exotic pets. Whatever you decide, make sure you enforce the policy so as not to expose yourself to the risk of lawsuits.
Maximize Occupancy Levels
Unoccupied properties face more dangers than occupied properties. The risks of theft, vandalism, and damages all go up if a property is unoccupied. Take the necessary measures to ensure your properties always have tenants.
Lastly, you should also screen potential tenants and lock out the troublesome ones. Your screening should identify tenants who are likely to damage your property, fight with other tenants, or instigate frivolous lawsuits against you.
If you have any questions concerning your insurance options, speak to an insurance agent near you today.