A standard homeowner’s insurance policy does not cover rental properties. If you’re renting out a home, you need a landlord (dwelling) policy — and possibly additional coverage depending on the property.
Landlord Dwelling Policy (DP-3)
This covers the structure and any landlord-owned contents (appliances, fixtures) against fire, storms, vandalism, and other covered perils. It also includes liability coverage if a tenant or visitor is injured on the property. Annual premiums in Montgomery typically range from $800–$1,500 depending on property value and coverage limits.
Additional Coverage to Consider
- Loss of rent coverage: Reimburses you if the property becomes uninhabitable due to a covered event
- Umbrella liability: Extra liability protection beyond your base policy — important if you own multiple properties
- Flood insurance: Not included in standard policies. Required in FEMA flood zones, recommended for all properties in low-lying areas of Montgomery
Requiring Renters Insurance
James-Hawkins requires all tenants to carry renters insurance through our partnership with MSI. This protects the tenant’s belongings and provides additional liability coverage that benefits both the tenant and the property owner. Learn more about our renters insurance program.
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