With regards to property owners, if you see that you are not listed as an additionally interested entity in your resident’s renter’s insurance policy, you absolutely should be. It is vital to ensure that all your tenants have already done so. It has something to do with the fact that, irrespective of the name, additional interest does not allude to financial interest, but on the contrary those who have an involvement, or stake, in a property. Even though a lot of owners demand that their renters hold a renter’s insurance policy, not all have made the additional step to see to it that they are listed correctly on the policy itself. Asking for both a renter’s insurance policy and being included on it are necessary points of safeguarding your rental home from any unforeseen, negative events.
Being the owner, you have plenty of solid reasons for needing to be aware of what it is going on your Murrieta rental property. This is what is listed as an additionally interested in your tenant’s renter’s insurance policy will do. If a property owner or property management company is listed as an additionally interested party on a renter’s insurance policy, that owner or property manager will then be advised when or if there are any changes made to that policy, along with any failure to renew it. This is valuable information that any owner or property manager expects to be made aware of, in particular when these policies are paid monthly.
However, showing up on a tenant’s renter’s insurance policy, meaning being listed as an additionally interested entity, does not present the listed party any type of insurance coverage. Being the owner, you will not be able to make use of the policy to demand claims or hedge your own property. Instead, being listed in this manner is for information only; it lets you, the owner, verify coverage and nothing much else. This main difference is a crucial one to explain to a tenant so that there isn’t any confusion.
The tenant also has to understand that if he or she moves, the policy will not automatically be canceled nor will the person named as the additionally interested entity be taken out. An owner listed as an additional interest cannot propose changes to the policy, nor can they cancel it. The tenant is accountable to have any needed changes made or stop their policy if they are not renting a home anymore.
Almost all insurance companies who offer renters insurance will list an additionally interested in the policy upon request. If your tenant tries to avoid adding you on their policy by claiming their insurance company will not, it may be because they are not asking for the correct action. Listing an additional interest is not the same thing as listing an owner or property management company as an additional insured. Making certain that your tenant really comprehends the distinction between the two can push the process to progress in an effective way.
Getting into the nitty-gritty of renter’s insurance can be tedious work for owners. But it is important that your tenants have the correct insurance policies and that necessary arrangements have been prepared to keep you in the know of what’s going on with your property. At Real Property Management, we will take care of all of the necessary tasks of handling a rental property, especially collaborating with tenants to guarantee that they are in accordance with the renter’s insurance terms and requirements in Murrieta. Insurance is an important part of protecting your valuable investment property; be certain it’s executed precisely with the help of the professionals at Real Property Management Realevate Specialists. For more helpful information, please contact us online or call our Mission Valley office at 858-997-2100 or our Temecula office at 951-461-0100 for more information.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.
