If you have a rental home in Utah you need Utah rental home insurance. You may be buying a new home to be used as a rental. You may be buying a new home for yourself and turning your old home into a rental. Maybe your existing rental home needs insurance. No matter what the case may be, your rental home needs a special kind of homeowners insurance, called a Dwelling Fire Policy in most cases, to be covered correctly.
New Rental Property
If you are purchasing a new home to be used as a rental you will want to make sure the quotes you are getting are for a dwelling fire policy. This is different than regular homeowner’s insurance policy. When requesting quotes make sure the agent knows it is a rental property. Regular home insurance policies have restrictions against tenants and boarders. If your rental property is insured on one of these policies you will not be covered correctly.
Converting Home to Rental Property
A lot of times when people turn an already owned home into a rental home they do not realize their insurance needs to be updated. Again, regular home insurance policies have restrictions against tenants and boarder. If your rental property is insured on one of these policies you will not be covered correctly. You will need to get a completely new insurance policy. This policy needs to be a dwelling fire policy, or its equivalent.
Existing Rental Property
Maybe your current insurance is too expensive. Perhaps someone read this article and pointed out that your home is insured incorrectly. It also could be that you didn’t qualify or feel like you needed insurance on your rental home until now. No matter what, do not delay in getting insured with a dwelling fire policy. You never know when something will happen and you will want to make sure you are covered correctly.
Dwelling Fire Policy Vs Homeowners Insurance Policy
Insurance companies require different policies when you are not living at a residence and/or have tenants living in your home. The rates will be different and their underwriting will be different. Make sure you are covered on the right kind of policy.
The breakdown of your insurance policy coverage is the same on both policies. See my previous blog post here for that break down. One important item to note is that with a rental home typically you don’t have a lot of personal property on the premises. With a Dwelling Fire policy you can request as little as you need.
Finding cheap Utah rental home insurance is the same as finding cheap homeowners insurance. We can help!
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Article Source: https://insideinsuranceagency.com/utah-rental-home-insurance/