Many landlords overlook the need for insurance for their rental property, however the benefits far outweigh the costs and like any insurance it’s not until something goes wrong that you realise you need it (or needed it). There are a few key components to a reliable landlord’s insurance policy so it’s important to shop around and make sure the policy you get covers the basics you need.

The 3 main considerations are price, understanding what is covered and what isn’t (inclusions and exclusions), and what their claims process looks like. There are also different kinds of insurance, depending on the type of property you have. A property that is furnished or has had significant investment in gardening or landscaping may need contents insurance with specific questions asked around damage or loss to property such as furniture or plants. There are also big-ticket items like fires, floods, or an accident that impacts the renter. A personal liability claim because your renter tripped on a paver and suffered a nasty injury can be disastrous to everyone involved, with good insurance your only saving grace.

It’s a good idea to talk to your property manager for some recommendations or ask someone you trust who their policy holder is. Researching to find a policy you like is important but there’s no better solution than first-hand experience.