Rental Dwelling Insurance in Florida

What Is Rental Dwelling Insurance?

Rental dwelling insurance is coverage specifically designed for residential properties that you rent to tenants. This policy protects the physical structure of your rental property and provides liability coverage for incidents that occur on the premises. It is similar to landlord insurance and is essential for anyone who owns a single-family home, duplex, or small multi-family property that they rent to others.

Why You Need Rental Dwelling Insurance

• Standard homeowners policies do not cover properties you rent to tenants
• Protects your investment property from damage due to fire, storms, vandalism, and other covered perils
• Provides liability protection if tenants or visitors are injured on your property
• Covers loss of rental income if the property becomes uninhabitable due to covered damage
• Helps meet mortgage lender requirements for rental properties

Common Coverages

Rental dwelling insurance covers the structure of your rental property including walls, roof, floors, and built-in appliances. It protects against covered perils like fire, lightning, windstorm, hail, explosion, and vandalism. Liability coverage is included to protect you if someone is injured on the property and holds you responsible. Loss of rental income coverage reimburses you for rent you would have collected if the property had not been damaged and made uninhabitable. You can add optional coverages such as personal property coverage for items you own and keep at the rental, medical payments to others, and additional liability limits for enhanced protection.

Who Needs Rental Dwelling Insurance?

If you own a property that you rent to tenants on a long-term basis, you need rental dwelling insurance. This includes single-family homes, duplexes, triplexes, and fourplexes that you do not live in. Even if you only rent out part of the year, you still need this specialized coverage because standard homeowners insurance excludes rental activities. The Gordon Agency works with property owners throughout Florida to secure appropriate rental dwelling coverage.

Does This Cover My Tenant's Belongings?

No, rental dwelling insurance does not cover your tenant's personal belongings. Your tenants need to purchase their own renters insurance to protect their furniture, clothing, electronics, and other possessions. Your policy only covers the building structure and items you own as the landlord.

How Much Coverage Do I Need?

You should insure your rental property for its full replacement cost, which is the amount it would cost to rebuild the structure if it were completely destroyed. This is often different from the market value or purchase price. The Gordon Agency can help you determine appropriate coverage limits based on your property's characteristics, construction costs in your Florida area, and your specific risk exposure.