St Louis, MO Landlord insurance Questions and answers

Being a st louis, missouri landlord can be a juggling act when trying to balance renting out your property with good tenants, collecting rent, managing your properties, plus many other legal and financial matters. Having a good insurance policy is one step in the right direction. Select Insurance Group is here to guide you through some of the top questions to ask when looking for st louis missouri landlord insurance coverage.

Things can go wrong with the properties you rent out. Whether it’s an injury due to a liability issue or some type of property damage, you’ll want to know the specifics of your insurance policy and what it covers.

Here are questions you should consider asking when deciding on st louis missouri Landlord coverage for your st louis missouri rental properties:

1. When shopping for st louis landlord insurance, what coverage is available?

There are typically two levels of coverage – basic coverage (Named Peril) and a more expensive, but broader coverage (Comprehensive). Basic coverage includes Liability and coverage for your Dwelling. There are also other coverages available such as Personal Property, Other Structures and Loss of Rents. Be sure to ask your insurance agency to look for a company that will provide coverage for your situation and that is flexible with what you want.

2. What’s the difference between Replacement Cost and Actual Cash Value?

Actual cash value settlement will have a lower premium, and pays the depreciated value of your property in the event of a loss. Replacement cost settlements require higher premiums up front, but would pay for the amount to replace your property without factoring in depreciation in the event of a loss. The choice is up to you based on your situation and preference.

3. What if my rental property is vacant or in between tenants?

Vacancies happen so you’ll want to know how your insurance company will handle this situation. Be aware that some companies will deny or reduce coverage if the property’s vacant for 30-60 days. Check into your options, as a vacant policy may be a possible solution for you.

4. Am I required to insure both my primary home and rental property with the same company?

Many people insure their rental property with the same company they have a homeowner’s policy with. However, two scenarios are common for using separate companies. One is that the company may have additional restrictions for rental properties including physical condition, liability exposure, credit scoring or even the number of rental properties owned. Your rental property may be in one of their restricted categories.

The second scenario is that people are looking for a specialized carrier. With a specialized company, you can get specific coverage for your situation, discount packages, claims expertise, more schedule options, multiple dwelling policies and one bill for multiple properties. Ask your agent or broker to find out what works best for you.

5. What kinds of st louis landlord insurance discounts are available?

Everybody wants to save money. Ask what’s available for you. Some companies give you a bigger discount the more properties you insure with them. Other companies reward you if your rental is managed by a property management company, if you screen your tenants, or if you are part of a landlord association.