Landlord Insurance
Has anyone heard of insurance for landlords against damage to property from tennants (carpet or wall damage) or lost rent for not being able to rent your property or insurance for possible pet damage or allowing a pet in your rental? I have been searching the internet and the only place I have found insurance of this kind is in the UK and Australia.
The damage ("not wear and tear"
is in most cases considered vandalism and, assuming your policy is a "special form" there should be coverage. However, it is subject to your deductible. Also, since this type of damage is usually not "catastrophic", you may not want to file the claim in the first place. With this in mind, consider carrying higher deductible(s) and creating a fund with the premium savings to pay such things. Call it a "self-insurance fund", if you'd like. I am by no means a tax advisor, but there may be a way to deduct this as well.
As for the pet damage, most companies here, at least the ones with which I am familiar, will exclude the pet damage. This isn't to say you don't have a liability claim against the tenant's policy for the damage. As for getting such a claim paid...that's another issue. What kind of premiums did the Australian company charge for the coverage? It may be cost-prohibitive. Hope this helps.
Happy Holidays!
[ Edited by norrist on Date 12/24/2003 ]