As a landlord of a paid off home do I need to have a homeowner insurance policy?
If there's a fire, or for any other property related reason,tenannts die or secure a big loss, what happens to the land lord? Is the landlord legally liable for all the losses? What happens if the tenant sue the landlord?
You are not required to have insurance on any property. The reason everybody thinks you are required is no bank will ever lend on a property unless you have insurance.
However, you should always have insurance on any property. This is especially true on rental properties. Your scenarios of a fire, death etc can reasonably happen. Whether it is your fault or not you will have the cost to defend yourself so the insurance is worth the cost for defense. You will also want to rebuild which you will need the insurance monies for.
I own rental property and i had a tenant slip and fall on my property. It was total BS but everyone has their right to sue. The tenant sued for a living and had four other similar cases pending. Three years later and 30K in legal bills the case was settled against my wishes. The insurance company paid the tenant 10K to go away. I still had the headache of dealing with the lawsuit and had to pay my deductable of $2,500. I figure it cost me $10,000 between my time and deductable. Without insurance it would have been $40K minimum and probably more.
yes, yes, yes. You need homeowners insurance and your renter should have renters insurance.
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If you're renting to tenants you need insurance. Suppose they burn the house down, they get to walk away and you're left with nothing. Suppose someone dies in the fire and they say it's your fault for not keeping the smoke alarms working. Do you really want to go to court and hope a jury feels sorry for you and not the dead guy? So yes you're legally liable.
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Yes you are required to carry insurance on any free and clear property with minimum liability coverage by that state/ counties guidelines.
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You are not required to have insurance on any property. The reason everybody thinks you are required is no bank will ever lend on a property unless you have insurance.
However, you should always have insurance on any property. This is especially true on rental properties. Your scenarios of a fire, death etc can reasonably happen. Whether it is your fault or not you will have the cost to defend yourself so the insurance is worth the cost for defense. You will also want to rebuild which you will need the insurance monies for.
I own rental property and i had a tenant slip and fall on my property. It was total BS but everyone has their right to sue. The tenant sued for a living and had four other similar cases pending. Three years later and 30K in legal bills the case was settled against my wishes. The insurance company paid the tenant 10K to go away. I still had the headache of dealing with the lawsuit and had to pay my deductable of $2,500. I figure it cost me $10,000 between my time and deductable. Without insurance it would have been $40K minimum and probably more.
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This is one of the dumbest questions I have ever heard. Really….when does common sense just come into play????
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Ethics, morals….etc….etc…..etc…..