With landlord’s insurance you are paying for peace of mind and maybe you already have that with your current tenant – although the unexpected can always happen through no fault of either party.
It won't seem worth it if you pay for years and nothing goes wrong. It will seem like terrific value if your tenants wreck the place and get you into expensive legal strife with your neighbours.
Today’s Sun-Herald has an article by Bina Brown about a property investor whose tenant defaulted on his rent, trashed her apartment and by the time she fixed the place she’d missed the opportunity to sell, as planned, before the market dropped.
Another article by Susannah Petty in June last year stated that most claims are for loss of rent but cited a few cases where people were getting cover for things they were already insured for or no cover when they thought they had it.
And then there’s Murphy’s Law – as soon as you cancel your cover, disaster will strike.