Home Insurance Information from Houston Landlords

Houston landlord insurance is a type of homeowner insurance for homes that are rented out to others. Most insurance companies do not allow customers to purchase a regular homeowners policy for a rental property. There are different risks and needs for the rented property.

In Texas, the state has standardized coverage levels in packages. Landlords usually receive a TDP 1, TDP 2 or TDP 3 package. (TDP is Texas Dwelling Policy) There is usually an extended coverage (EC) option added, so a policy can be TDP 1 EC, TDP 2 EC or TDP 3 EC.

A TDP 1 package includes the home and outbuildings, fire, lightning, storm, hurricane, hail, explosion, civil disturbance or riot, aircraft or vehicle damage, and smoke. In some cases there may be a special exclusion for storm, hurricane and hail. This is common in coastal areas and you can get a separate storm policy if this is the case.

The TDP 2 package causes breakage or cracking due to water damage, falling trees, freezing of plumbing, building collapse, weight of snow and glass breakage.

The TDP 3 package adds a special form for building, additional living costs, replacement costs, and trees and shrubs.

Things that aren’t covered are usually theft, flooding, and mold damage. Some policies have options for additional coverage at an additional cost. There is usually no coverage for the tenants’ personal property.

Most landlords will require the tenant to purchase a renter’s package for the tenant’s property and for the tenants’ personal liability. This is a very good idea and a high limit on liability coverage is recommended. Ask your insurance agent for more information about this.

As a disclaimer, this information may not be up-to-date or completely accurate. You can visit the state insurance website at http://www.tdi.state.tx.us for the most current information. All policies have limitations and exclusions. Program details are constantly changing. It is very important to go through all the details with an experienced agent before selecting a policy.

Texas residents can visit my Houston Landlord Insurance Site for more information or call 281-537-2700.

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