Risk & Business Magazine Miller Insurance Summer 2019 Magazine | Page 28

RENTAL PROPERTY OWNERS
8
Tips For Rental
Property Owners
F
rom finding the perfect tenant
to getting the right insurance,
there’s a lot to think about when
you’re renting out a property.
Whether you’re a first-time
landlord planning to rent your basement
to a student or a seasoned pro preparing
to list your next property, consider
these eight tips to make every rental
experience a positive one:
1) GET THE RIGHT INSURANCE FOR
YOUR RENTAL PROPERTY. Before you
start looking for a tenant, reach out to
a licensed home insurance broker to get
set up with an insurance policy for your
rental dwelling.
Note: If you’re an absentee landlord
(living over 100 km away from your rental
property) or only want to insure a rental
home but not your primary residence, you
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may find yourself shopping for a high-risk
insurance policy.
2) CHOOSE A GOOD TENANT. FINDING
THE RIGHT TENANT FOR YOUR RENTAL
SPACE CAN SEEM LIKE A CHALLENGE.
But screening potential tenants properly
now can save you a lot of trouble
later. Consider asking for references
from previous landlords and proof of
employment before agreeing to let a
tenant move in.
3) THINK ABOUT MAKING TENANT
INSURANCE MANDATORY. In the event
of an emergency, your insurance policy
will protect your property, but it won’t
protect your tenants or their belongings.
Plus, if one of your tenants is responsible
for damage to someone else’s property
or an injury inside your rental unit, you
could be on the hook . . . unless they have
their own liability insurance. Consider
recommending that each of your renters
purchase their own tenant insurance to
prevent potential disputes or liability
suits. You may want to ask for proof
of insurance before they move in, and
check that they’ve renewed their policy
each year.
4) PUT YOUR RENTAL AGREEMENT
IN WRITING. BEFORE YOUR TENANT
MOVES IN, CONSIDER HAVING THEM
SIGN AN AGREEMENT THAT OUTLINES
THE TERMS OF THE RENTAL TO HELP
PREVENT DISAGREEMENTS DOWN
THE ROAD. Rental agreements often
include things like the names of the
landlord and tenant, the address of the
rental property, the amount to be paid
each month, a description of utilities and
other fees that are included or excluded
from the monthly rent, the process for