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Tenants Required to Purchase Rental Insurance
Landlords are well within their rights to require tenants to take out a renter’s insurance policy as a condition of the individual lease. That’s the consensus of a group of insurance experts that includes Gotham Brokerage President Jeff Schneider. Jeff provided his industry expertise for a recent amNewYork column.
You’re also likely to run into this issue in other rental buildings, as more and more landlords require renters to take out policies in order to protect themselves from damage caused by tenants. “Landlords are now requiring proof of coverage, largely because they don’t want to be in the middle of water damage disputes between tenants,” explains Jeff. “They also want to make it clear that the landlord’s policy does not cover in these situations [unless the problem is a result of] the landlord’s own negligence.”
And while you might not be thrilled at the prospect of shelling out a couple hundred dollars per year in addition to your rent, keep in mind that a little bit of money will get you a lot of coverage. “The minimum coverage with $100,000 of personal liability coverage is available for under $150 year, and liability claims can be quite sizable,” says Schneider. Unless you want to move or risk being in breach of your lease, your best bet is to shell out the extra cash, and enjoy the extra peace of mind, according to the amNewYork “Ask the Expert” article, which can be viewed in its entirety here.
If you’re looking for an insurance company that simplifies the process of shopping around for apartment insurance and really understands the unique insurance needs of the New York apartment renter, look no further than Gotham Brokerage. Gotham has over fifty years of experience working with New Yorkers. In as little as twenty minutes, they can set you up with the right insurance policy for your needs, and it probably costs a lot less than you think it does.
Get in touch with Gotham today for a free quote.