Renters insurance. It is an unfamiliar concept to some. Some people have heard of it but do not think to acquire it. But should they? Should landlords require their tenants to get insurance?

Some people opt to get renters insurance to make sure that they can pay for expenses brought upon by unexpected events. However, some tenants do not consider some of their belongings to be valuable enough to have insurance. But what happens when a laptop goes missing? Or when a fire destroys everything? Some expect that landlords will take care of damages to their property. They do not realize that it is not, in fact, the landlord’s responsibility if he is not at fault.

You have an opportunity to educate tenants about insurance, and I say grab it. If you are unsure of how to convince them, this might help you. Read on to find out.

Insurance coverage

As with other types of insurance, there are specific things that renters insurance cover. It focuses on the tenant’s personal belongings. Do not confuse this with a landlord’s insurance, which covers damages to the property. The usual price of this is around fourteen dollars a month.

The renter’s insurance covers the expenses brought about by theft, injury liabilities, and damages due to natural disasters. For example, the property is rendered uninhabitable due to a typhoon. The renter’s insurance can cover the expenses for alternative living arrangements.

A landlord requirement

Should landlords require tenants to have their insurance? If the law allows it, yes. But landlords must remember to check the state laws before adding this to the lease agreement.

Another reason why landlords should require a renter’s insurance is to prepare for injuries inside the premises. The cost of treatment depends on the cause of injury. For example, the tenant had a visitor over, and during that time, the visitor got injured. The landlord’s insurance will not cover the expenses once the cause of the injury is the tenant’s error. With insurance, it will help the renter pay for the damages.

Natural disasters or fire accidents are both unexpected and damaging. They will not only cause damage to the property but also to the tenant’s belongings. Once this happens, they might go after the landlord. Although it is no one’s fault, they might find it the only option they have. But if they have renter’s insurance, it will not come to that. The landlords can breathe easy knowing that their property and the renter’s properties are covered.

Still unconvinced? Renter’s insurance can also cover the cost of damages done by the renter’s pet. Well, this will depend on the scope of coverage of the policy they would get, but there are some which include this. A lot of people own pets, but not all property owners will allow them. If the landlord plans on letting pets inside their property, it is better to require tenants to have insurance. You’ll never know when a dog might bite someone.

A landlord can require a renter’s insurance or not, but either way, tenants must know the advantages of having it. Once the decision is final, you can start finding tenants for a property by using Padleads. It’s this great website where you can post property listings for people to check out. And even better, you can syndicate those listings to other websites too.

Requiring a renter’s insurance is the landlord’s discretion, but it does have its advantages. Some tenants might think of it as an added expense and burden. You just need to give them a little push in the right direction. Nobody wants bad things to happen, but that’s beyond anyone’s control. Having the peace of mind that insurance can give will be worth it.