Like anything else you own that you want to protect, your apartment complex should be one of them. When you own an apartment building, you are choosing to become a landlord and take responsibility for what happens to your apartment when renting it out.
Now, even though you own this property, it will not fall under your homeowner’s insurance because you do not live there exclusively. Homeowners insurance typically only covers your main dwelling and additional buildings like your garage and shed that lie on your property.
Even though apartment building owners’ insurance (aka landlord insurance) isn’t technically required in the state of California, it is highly recommended to ensure your building is protected and you have peace of mind that your investment is safeguarded.
When you own an apartment building, what is covered by apartment building owners’ insurance? We’ve got it all laid out here for you in this article!
Property Damage
This is one of the main reasons why apartment building owners’ insurance is so important. If your building is damaged, are you able to pay for it out of pocket? Even if you are able to afford it, why would you want to pay for it with no assistance?
With apartment building owners’ insurance, your building is covered in the case of damages done by natural disasters, flooding, and even damage done by tenants.
It is important to note that your apartment building owners’ insurance or even renters’ insurance will NOT cover damage done by earthquakes. You will need to purchase separate earthquake insurance, which we can help you with!
Liability Insurance
If someone is injured on your property and sues you, are you able to pay for the legal and medical fees incurred? Liability insurance built within your insurance policy covers any fees you may be obligated to pay for if you are found at fault for the injury/cause of injury.
Personal Property
If you furnish your building with art, furniture, and other fixtures, you can be reimbursed, repair the item or choose to have the item replaced entirely if something happens. Yes, you can hold tenants responsible for damages, but you always want to have a plan in place to cover it without having to pay out of pocket!
For example, if a tenant leaves the apartment in disarray, keeping their security deposit might not be enough to cover any damages. You can then tap into your insurance policy and see what can be done to help with repairing the apartment.
Compensation For Lost Wages
Did you know that if you have to stop accepting tenants in a particular apartment or an entire building, you can be compensated for lost wages/income? That’s right! If you are repairing your building and have to close down one or more apartments, your policy will kick in and help to compensate you during that downtime!
This is a huge perk of having the right apartment building owners’ insurance.
Want To Know More About Apartment Building Owners’ Insurance? Contact Insurance By Castle Today!
As one of the leading apartment owners’ insurance companies in California, you will have peace of mind that your building, your property, and your investment are protected no matter what comes your way!
We will work with you to provide you with the most comprehensive coverage you need at a price that you can afford!
Not only do we work with apartment building owners, but we also work with landlords and those who rent out their properties for short periods of time (AKA vacation rentals, Airbnb, VRBO, etc.).
Read our latest article about Landlord Insurance For Short-Term Rentals In California for more insight!
If you’re interested in learning more about apartment building owners’ insurance, contact us today to discuss your needs and get a quote!
