What is Landlord Insurance?
Owning investment properties that are leased out can be a profitable venture, but it’s work that comes with certain risks. Landlords are exposed to both potential property damage risks and possible liability lawsuits, and they generally need to protect their businesses from both. Landlord insurance helps investment property owners in Massachusetts protect themselves from many of the risks they face.
Landlord insurance is a specialized form of property insurance that’s crafted to meet the unique needs of landlords. Policies frequently come with multiple coverage options, and many insurance companies offer policies for a wide range of investment properties. Property owners might get these to protect leased single-family houses, duplexes, multi-unit buildings, mobile homes, commercial spaces or other investment properties.
Who in Massachusetts Needs Landlord Liability Insurance?
The vast majority of people and businesses that own investment properties in Massachusetts, including both in-state and out-of-state investors, should have landlord liability insurance through an insurance company that operates in the state. This usually includes all of the following:
- Individuals who purchase a single rental property
- Individuals who manage a portfolio of properties
- Individuals who incorporate and invest in properties
- Businesses that have multiple properties
Moreover, insurance is normally necessary irrespective of whether properties are managed by an investor or through a property management company. Even landlords who have a hands-off approach to managing properties might be sued and therefore, probably should have landlord liability insurance.