The property industry is rich and diverse – from taking care of residential, commercial or vacation properties, property managers oversee a ton of responsibilities. From finding suitable renters to ensuring the safety of tenants and their guests, there’s a fair bit of risk involved. It has a lot of firms looking into their property management insurance needs.
Now, more than ever, residential property management professionals are seeing a rise in lawsuits and other claims. Whether the issue is personal injury, property damage, negligence or wrongful discrimination, the legal costs involved can add up pretty quickly.
Here's how to ensure you're covered by property management insurance so that you can have full peace of mind and safeguard your business.
General Liability Insurance
General liability insurance covers your day-to-day business practices. It offers up protection against negligence claims stemming from any injuries sustained on property that you manage. For example, if a tenant or guest slips and falls on a wet floor in a common area, it can open the door to a claim or lawsuit. This type of insurance also provides third-party liability protection against property damage caused by employees or contractors.
ProfessionalLiability/Errors and Omissions (E&O) Insurance
Compared with general liability insurance, E&O insurance offers coverage that’s tailored to the property management industry, including protection against claims for invasion of privacy, document loss, security deposit disputes and wrongful eviction. This type of professional liability insurance also protects property management firms against conflicts arising regarding repairs and damage.
Property insurance offers a variety of coverage for your property and physical assets such as buildings and their contents, equipment and inventory. Some insurance policies cover a limited number of perils, while others are more wide-ranging. Overall, many policies cover monetary loss stemming from fire, theft, storms, and vandalism.
This type of insurance policy protects your business in the event of a data breach or cyber attack. If employee or tenant data is lost, compromised or stolen by a hacker or other criminal, this policy protects you from liability. It also covers remediation expenses.
Loss of Income/BusinessInterruption Insurance
If your paying tenant is forced out of your rental property due a fire or flood, this type of insurance will cover your loss of income while the property is being repaired.It ensures cash flow until the unit can be rented again.
How PropertyVista Helps
Minimizing risk is an important part of your responsibilities as a property management company, and it’s critical to ensure your residents are covered in cases of emergencies and accidents. Property Vista has teamed up with TenantSure to provide a built-in renters insurance program that is easy to join and provides broad coverage at a great price. To learn more about what we can do to help maximize your growing business, book a demo.