As property owners, if you see that you are not listed as an additionally interested party in your resident’s renter’s insurance policy, you really should be. It is critical to ensure that all your tenants do that. That is because, discounting the name, additional interest does not suggest financial interest, but rather those who have an interest, or stake, in a property. Even when many owners ask for their renters to have a renter’s insurance policy, not all have done the additional step to ascertain that they are listed properly on the policy itself. Obligating a renter for both a renter’s insurance policy and being included on it are salient features of shielding your rental home from unexpected circumstances.
Being an owner, you have sure grounds for hoping to find out and be kept in the loop on what is happening in your West Valley City 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 included as an additionally interested party on a renter’s insurance policy, that owner or property manager will then be warned when or if there are any recent changes made to that policy, including when the tenant decides not to renew it. This is valuable information that any owner or property manager must be made aware of, particularly when these policies are paid monthly.
Even when included in a tenant’s renter’s insurance policy, being listed as an additionally interested does not grant the listed party any kind of insurance coverage. As the owner, you cannot use this policy to demand claims or screen and protect your own property. This just means you have access to valuable information; it affords the owner to verify coverage and nothing else. This is a clear distinction to explain to tenants so they do not misunderstand anything.
Tenants must also know clearly that if they relocate, the policy will not automatically be canceled nor will the name of the additionally interested entity be removed just like that when this happens. An owner listed as an additional interest cannot just make changes to the policy, nor can they make any cancellations. The tenant is liable to bring on any important changes or withdraw their policy if they are no longer renting a home.
Many 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. Adding and listing an additional interest is very different from listing an owner or property management company as an additional insured. Guaranteeing that your tenant is aware of this main difference between the two can really help this process move forward as easily as possible.
Defining the whys and wherefores of renter’s insurance can be a protracted burden for owners. But it is critical that your tenants have the suitable insurance policies and that things have been established to keep you informed and knowledgeable about your investment property. At Real Property Management, we operate all of the attributes of managing a rental property, to include working together really closely with tenants to make sure that they are in harmony and compliant with renter’s insurance regulations in West Valley City. Insurance is an important part of protecting your valuable investment property; verify it’s carried about appropriately with the help of the professionals at Real Property Management Wasatch. For more needed information, please contact us online or call us at 801-418-9835.
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