From a legal point of view the owner is obliged to take out a home insurance, but not the tenant.
A reminder of the importance of insurance for both the owner and the renter. In both cases, it is recommended to use the services of an insurance broker, because it will find the bids best suited to the characteristics of your home.
On the owner’s side
Even if the owner does not live in his building or condo, he is obliged to take out insurance to protect himself from certain risks.
Initially third-party liability protects against damage caused by tenants. Whether in case of theft of your furniture, fire or any other damage you must protect yourself, because you are legally responsible for everything that can happen in your property. for type of information about real estate visit Best Tampa realtor 2018 .
In parallel it is recommended to subscribe to other insurances which can go in addition to the third-party liability and provide additional protection:
- Content insurance: covers losses due to damage to your property (flooring, lighting, appliances, heating …).
- Building insurance: advised to protect damage caused to your property by fire, flood, piping …
- Emergency: when the owner lives far from his rental property, there is the emergency cover to reduce the costs associated with unforeseen repairs.
- Unpaid: unfortunately it is possible to lose a rent for several reasons: refusal to pay, lease broken by the tenant or the owner. The insurance policy reimburses part of the unpaid rent, but on a time limit.
On the tenant side
As a first step it is recommended to choose your tenants to ensure on the one hand the payment of rents, but also keep your building in good condition.
Then, it is advisable to ask your tenants to take out tenant insurance or make a deposit.
The tenant is legally responsible for any incident that may occur in the property he rents so there are several types of coverage to cover different damages:
- Content insurance: as soon as you enter a new home, you must draw up a list of the various properties in your possession, indicating their value, justified by an invoice. This will allow you to be reimbursed for these in case of theft or loss in a fire or flood for example.
- Subsistence: If a property is uninhabitable for a while, temporary accommodation will be required. It is advisable to check with your broker to find out if hotel expenses are covered by the insurance premium.
- Tenant’s civil liability: that of the owner covers his own property, but not that of the tenant.
Home insurance is expensive, but it is inevitable to buy one. In case of damage, more than one appreciated having taken out a renter or owner insurance.