Why is my landlord asking me to get tenant insurance?

By Rachel Devitt on December 10, 2020
Estimated reading time: 3 minutes

All your questions about tenant insurance answered here, including why your landlord requires you to prove you have coverage.

A woman holding a box as she moves into her first apartment

Photo by Ketut Subiyanto from Pexels

You’ve done the impossible. You found the perfect apartment (hello, exposed brick!), and it’s actually within your budget. You’re about to sign the lease when your new landlord mentions that you need to have proof of tenant insurance before moving in. Why are they making you get tenant insurance? In short, most landlords will require you to purchase tenant insurance prior to moving in, as they want to ensure occupants have the proper coverage in place should something go wrong, so neither of you are on the line for the cost of damage. However, not having adequate insurance in place can lead to disastrous consequences for both parties. Let’s break it down.

Tenant liability protection

Tenant liability protection is the type of coverage that most landlords will require, while contents coverage and additional living expenses can be seen as added bonuses to any tenant insurance policy. This coverage is designed to protect the policyholder in the event a liability claim is made against them, whether that be at an event in their home, or on a beach in Barbados. For example, a guest in your apartment trips on a loose cord when he’s over for trivia night. He breaks his ankle and decides to sue. Property managers and landlords look to ensure their tenants have purchased liability coverage—that way they are not on the line should you, as a resident, be sued while occupying a unit in their building.

Keeping your contents safe

Contents insurance protects the stuff you own, no matter whose fault the damage is. You may think to yourself: “Well, I don’t really have that many valuable items in my apartment, I don’t think I need to protect them.” But it’s important to think of a situation in which everything you own is damaged. Not just your clothes, bedding, and furniture, but items like your laptop, TV, small kitchen appliances and precious mementos. It really starts to add up. Contents coverage is designed to provide you with money to cover the cost of the items that may have been damaged or stolen from your apartment. While property managers are mostly looking to ensure you’ve got liability protection in place, contents coverage is important as well.

Living expenses included

Say your circus-performing next-door neighbour has taken their latest trick one step too far, causing a major fire that’s damaged both of your apartments to the point that you are required to vacate the premises. With tenant insurance, you’ll have access to additional living expenses, which is money you can use in the event you can’t stay in your home for some reason. Duuo provides renters in Canada with affordable tenant insurance that can be purchased completely online, making it easier than ever to get coverage. At the end of the day, your property manager or landlord is asking you to provide proof of coverage because they want to ensure you’re protected during your experience as their tenant.