Here’s Why Landlord Insurance is Important
As we’re nearing the season of wild weather, if you have an investment property in the area that’s frequently affected by storms, it is a great opportunity to consider getting a landlord insurance. In early November the severe season unleashed its magnitude by launching hailstones of up to 14 centimetres. This event saw more than 10,000 south-east Queensland residents without power, damaging many properties, especially in Springfield Lakes. Our Coronis office was inundated with properties affected by the storm. Here’s what you need to know about the landlord insurance.
What is it?
Your property manager has probably talked to you about it already, but generally speaking, this is special insurance targeted at covering you in the event of financial loss that’s caused damage to your investment property whether it be physical damage or loss of rent.
How does it compare to building insurance (home insurance)?
While the landlord insurance covers incidents and damages related to tenants, building (or home) insurance usually covers the cost of building repairs or damages related to house fire for example.
Why is it important and what does to cover?
While in Queensland it’s optional to have landlord insurance, it is important to consider getting it if you have an investment property. It will help you cover potential financial losses, which otherwise would be costly if you don’t have insurance in the first place. Depending on the insurance provider and the cover you choose, these are some of the options:
- Accidental loss or damage to the property
- Damage caused by tenants
- Cover for damage caused by natural disasters like fire, storm, rainwater, lighting, and earthquakes
- Loss of rent following damage to the property or any other reason
Our state is not a stranger to severe weather events, so getting a landlord insurance will benefit you and will help you protect your investment. It is always a great idea to speak to your property manager if you have any questions about protecting your investment.