Fire Insurance for Landlords and Tenants

5/8/2020 (Permalink)

Ask your agent if you have any questions.

An apartment fire in Flourtown, PA, can be traumatic for all involved. Fortunately, the right insurance policies can help both landlords and tenants get back to normal as quickly as possible.

Insurance for Renters
When fire damage occurs to a rented apartment, the tenant is not responsible for damage to the building itself. However, the renter is responsible for his or her personal property. A renter's insurance policy will cover either the actual cash value of the contents or the replacement cost. Actual cash value means the insured will receive a payment that covers the value of the items directly before the loss. They will only receive the depreciated value for the property. A policy that covers replacement costs will provide the insured with enough money to repair or replace the damaged items. In addition to contents, renter's insurance typically covers a few other things:

Liability
Small medical payments to third parties
Temporary living expenses

Liability means that if the insured accidentally starts the apartment fire, the insurance company can deal with claims made by third parties against the tenant. The medical payments to others generally cover small medical payments that third parties may incur due to the fire, even when it has not been proven that the insured is liable for the fire. Temporary living expenses coverage will provide the insured with funds to temporarily relocate while their apartment is being restored.

Insurance for Property Owners
There are different types of insurance that property owners can purchase, including general liability, landlord's insurance, and specialized fire policy. You can talk to your insurance agent to determine which combination of policies is best for you and your apartment building. Make sure you read and understand the details of all your insurance policies.

Ask your agent if you have any questions.
Insurance policies help landlords and tenants financially after an apartment fire. If you need help with the restoration process, an experienced restoration service can help you get your property back to normal quickly and safely.