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Does Landlord Insurance Cover Tenant Injury?

Laura Olson
Dec 14, 2022

As a landlord, you are responsible for ensuring that your rental property is safe for tenants.

This includes ensuring that there are no potential hazards that could cause tenant injury. Unfortunately, accidents can happen even when all safety precautions have been taken. You could be held liable if a tenant is injured on your property.

For example, if a tenant trips and falls on a step, they could try and hold you responsible for their injuries. Similarly, if a tenant is injured by what they claim is a defective appliance or piece of furniture, you may be held liable if it can be shown that you were aware of the issue and failed to repair it.

This blog post will explain how to insure your rental property against tenant injury. By taking out the right insurance policy, you can protect yourself financially if a tenant is injured on your property.

You’ll learn what types of coverage are available and how much coverage to consider. We’ve also included tips on preventing tenant injuries.

Does Landlord Insurance Cover Tenant Injuries?

Landlord insurance is vital for anyone who owns rental property. Not only does it protect your investment, but landlord policies also provide personal liability coverage in the event of a claim from a tenant, tenant guest, or uninsured third party.

Many common incidents could occur on a rental property where a landlord could be pursued as a liable party including:

  • Slips and falls in common areas due to poor maintenance
  • Inadequate security leading to tenant injuries or property damage
  • Defective appliances or electrical wiring that cause fires or shocks
  • Unsafe stairs, porches, or railings that collapse or cause falls
  • Lead paint or asbestos exposure causing health problems
  • Carbon monoxide leaks from faulty heating systems
  • Pest infestations that lead to bites or disease
  • Mold growth due to damp conditions

There are three types of landlord insurance policies - DP1, DP2, and DP3. Among these three policies, DP3 offers the most comprehensive insurance coverage. DP1 covers the structure of the building, including the walls, floors, and ceilings. It also covers any permanent fixtures and fittings, such as plumbing and electrical wiring. DP2 extends coverage to include loss of rental income and legal fees arising from tenancy disputes.

DP3 provides the most comprehensive protection by covering the property's contents and the building itself. In addition, DP3 also provides personal liability coverage in case of a claim of bodily injury from a tenant, tenant guest, or uninsured third party.

How to Help Prevent Tenant Injuries

As a landlord, you want to do everything you can to prevent your tenants from being injured. There are many ways to help prevent tenant injuries, and by following some simple best practices, you can make your rental property much safer for your tenants.

Performing regular inspections and routine maintenance of a rental property can help prevent injuries in several ways:

  • By identifying and repairing any potential hazards on the property, you can help reduce the chances of an accident occurring.
  • If you are aware of any issues with the property that could potentially cause an accident, you can take steps to mitigate those risks.
  • By keeping up with regular maintenance and repairs, you can help ensure that the property remains safe for tenants.

Another important step in preventing injuries is to create a policy for handling emergencies. This policy should include who to contact in an emergency, what to do in case of a fire or other evacuation, and how to handle medical emergencies. Having a plan in place can help ensure that your tenants know what to do in an emergency and can act quickly to prevent further injuries.

Additional Coverage Options for Landlords

The types of coverage included in a landlord insurance policy can vary. Typically, it will provide protection for the physical structure of the rental property, the personal belongings of the landlord, and any lost income if the property is damaged or uninhabitable.

Sometimes, a landlord may require additional insurance for a rental property. Here are five additional coverage options a landlord may wish to add to a standard landlord insurance policy:

1. Vacant property insurance: This type of insurance protects your property if it is unoccupied for an extended period.

2. Water backup and sump pump overflow coverage: This type of coverage provides protection in the event that water backs up into your property or causes damage due to a sump pump failure.

3. Flood insurance: If your property is located in an area that is prone to flooding, you may wish to purchase flood insurance to protect against potential damage.

4. Earthquake insurance: States like Alaska, California, and Nevada are prone to earthquakes. If your rental property is located in an area subject to earthquakes, you may wish to purchase additional insurance to protect against any damage that may occur.

5. Ordinance or law: When renovations are required to comply with new building codes or ordinances, this coverage can help cover the cost of those upgrades.

With these additional coverages in place, a landlord can help ensure that their rental property is protected against a wide range of risks.

Tips for Choosing a Landlord Insurance Policy

When it comes to landlord insurance, it pays to shop around and compare different policies. Doing so can ensure that you're getting the best coverage for your needs at the most affordable price.

Landlords can get the best deal on insurance by following these best practices:

  • Be sure you have a landlord insurance policy. If a tenant or guest is injured on your property, they may file a claim against you. You could be responsible for paying their medical bills, lost wages, and other damages if you are found liable. A landlord insurance policy with injury coverage can help pay for these expenses, saving you money in the long run.
  • Comparing rates from different insurers is the best way to know you're getting a competitive rate on your landlord insurance policy. However, make sure to compare apples to apples by looking at policies with similar coverage limits and deductibles. Some companies, like Obie, will help shop and compare policies for you.
  • Some insurers offer discounts for landlords who have taken steps to protect their property, such as installing security systems or smoke detectors. Ask about these when you're comparing rates.
  • It's important to know if your insurer will cover the full value of your rental dwelling if damaged or destroyed. Make sure to get an estimate of your property's value from a professional appraiser before shopping for insurance.
  • Read the fine print of any policy you're considering before purchasing it. Pay attention to things like the policy's deductible and any exclusions that could limit your coverage.
  • Some insurers offer "blanket" policies that cover multiple rental properties under one policy. This could be a good option if you have more than one rental property.
  • Ensure you understand the claims process for the insurer you're considering before buying a policy. You'll want to know how to file a claim and what documentation will be required.

It's also a good idea to review your insurance needs annually to ensure you're still getting the best coverage for your needs. Things can change over time, so staying up-to-date on your coverage is important.

Where to Find the Right Rental Property Insurance Policy

A landlord's insurance needs are unique and complex. As a result, working with a captive agent who only represents one company can be limiting.

The potential drawback of buying landlord insurance through a captive agent is that the agent may not have access to the best possible coverage for your needs. Additionally, the agent may not be able to provide you with the most competitive rates because they are limited to the products of one carrier.

That’s why more and more landlords are turning to Obie. Obie is an online insurance broker that uses cutting-edge technology to streamline the process of buying landlord insurance. Obie provides landlords with instant quotes from top-rated carriers so that you can compare rates and coverage options side-by-side.

With Obie, there are no hidden fees or surprises – just simple, straightforward insurance that protects your property and your investment. More than $4 Billion in property is insured with Obie, and landlord insurance is available in all 50 states.

To get started, visit Obie's website and enter your property address for a free instant online quote.