With its affordable cost of living and high overall quality of life, it's no wonder Tampa, FL, is the best U.S. city to retire. Let's not forget it has among the most incredible beaches in the state.
Because of those qualities, more people are moving to the Big Guava. Indeed, folks migrating to Florida consider the Tampa Bay area their prime destination.
If you're a rental property owner in Tampa, that population growth means more income opportunities.
However, that's only if you protect your assets with landlord insurance. Without adequate coverage, you could be at risk of astronomical expenses.
This guide discusses the most crucial liability and property insurance you need as a landlord, so please read on.
Liability Coverage
Routine maintenance, which helps ensure your properties are habitable and safe, is one of the best ways to keep tenants happy. It also helps lower the risk of tenants sustaining injuries on your property.
However, untoward incidents can still happen, and you may be liable for such.
For instance, suppose that, for some reason, you had to reschedule property inspection and repairs. Before you could complete these tasks, a warped area of the floor caused a tenant to trip, fall, and get injured. You may be liable in this situation and, if so, responsible for paying for your tenant's treatment.
Landlord liability coverage can help pay for those costs.
Building Coverage
One of the most significant risks you face as a landlord is the possibility of a fire. These are prevalent, with one U.S. home structure fire reported every 88 seconds in 2022.
While prioritizing fire prevention is a must, so is having building coverage. This type of landlord insurance coverage can help cover any damage caused by a fire to an insured dwelling. It can also include coverage for events like crime (e.g., a break-in) or inclement weather.
Please note that this coverage doesn't cover damage caused by your tenant's pets. So, if you allow tenants to have a pet, please ensure they have pet damage insurance.
Flood Insurance
Purchasing flood insurance is a vital risk management strategy for all Tampa landlords. After all, the city has a high risk of flooding that can severely impact an estimated 44% of properties.
While you can't stop floods, you can get flood insurance to protect your finances from the damages these events can cause. The exact inclusions vary from one policy to another, but they generally cover the following:
- The property's physical structure
- Vital systems, including electrical, plumbing, heating, and air conditioning
- Appliances
- Building contents, such as furniture and electronic equipment
Landlord flood insurance only covers your properties, not your tenants'. However, your tenants can buy flood insurance for their protection, too.
Protect Your Assets With Landlord Insurance
With Tampa rental property owners facing many risks, landlord insurance is undeniably necessary.
Without liability, building, and flood insurance, you risk significant losses. So, please ensure you have adequate coverage for your peace of mind.
If you're unsure where to start, the team of professionals at PMI South Tampa is happy to help. We're a full-service property management company that can assist with all your leasing needs.
So, book a consultation with our team of experts today. We'll help you make the most of your investments!
