Depending on how you look at it, the real-estate market in Nevada, and especially Las Vegas, is either a disaster of biblical scale, or the best investment opportunity in decades. We have thousands of homes, condominiums and townhomes vacant and ready to purchase. And, rent prices seem to be holding fairly stable, despite the population decline in the last few years. If you are a real estate investor, there may never be a better time to look at homes in Las Vegas.
Rental homes need a very particular type of insurance, known as a “dwelling fire” policy. Some insurance companies also refer to this as a landlord policy or protector. Traditional homeowner’s insurance requires that the home be owner-occupied, obviously an issue for a rental property. Dwelling fire policies have no such requirement and therefore allow the home to be occupied by tenants. There are 4 major coverage parts of a dwelling fire policy:
- Dwelling or structure coverage: typically issued using a “special” form or open peril coverage and with a replacement cost endorsement.
- Contents: in this case, the contents would be those belonging to the landlord such as removable appliances (washer, dryer, refrigerator, window coverings, etc.). The tenant’s property is NEVER covered under this policy – they must purchase a renters policy.
- Loss of rental income: if your rental property suffers a major loss, such as a fire, don’t expect the tenant to keep paying you rent. This coverage reimburses you the lost rent during the time the home is being repaired.
- Premises liability: also know as OLT (owners, landlords, tenants) liability, this coverage protects you from the ownership, operation or maintenance of the premises. Coverage can be triggered by the negligence of the landlord or the actions of the tenant.
At Safeguard Insurance, we are Nevada Rental Property Insurance specialists. We can provide competitive quotes on the right landlord insurance with several insurance companies. We will also provide you with various coverage and deductible options. If you own rental property in the name of an LLC and have multiple locations, we can also quote a commercial master policy that includes all of your properties on one policy. Contact us today to discuss what options we have for you!