Property insurance does not automatically mean all lost rental income will be reimbursed.
Landlords should specifically review Loss of Rents, Rental Value, or Business Income coverage.
For example, if an apartment becomes uninhabitable after a covered fire and the tenant cannot pay rent while repairs are completed, applicable Loss of Rents coverage may help replace qualifying lost rental income.
Coverage normally depends on the loss being caused by a covered event.
Loss of rent because:
- A tenant stops paying
- A tenant moves out
- The property cannot find a renter
- Market rents decline
is generally different from insured loss-of-rents coverage.