Any investment in an apartment building or complex must be substantial, and it’s important to protect such an investment. One way Massachusetts investors can help protect their apartment buildings and investments is by getting apartment complex insurance.
Apartment complex insurance offers tailor-made coverages for apartment properties. Policies may insure buildings, other improvements, equipment, and against liability risks.
Apartment building insurance is usually for residential investment properties with 5+ units. Massachusetts landlords with apartment buildings and complexes at least this size probably need insurance. Of course, properties can be much larger and still insured through these policies.
In many cases, insurance is mandatory when apartment properties are financed. Lenders may require certain coverages so that the buildings they underwrite loans for are insured against damage.
For properties with fewer than five units, a different type of landlord insurance policy is usually better suited.
Insuring an apartment building is complex, and it usually requires several coverages. Some important protections to consider are:
Other coverages, such as commercial auto, employment practices liability, and cyber insurance, are also normally available. A knowledgeable insurance agent can help apartment owners determine whether they should have these or any other protections.
Standard apartment building insurance policies typically exclude coverage for both earthquakes and floods. If coverage for these risks is required, it may be obtained through separate policies.
Flood insurance might be available through the National Flood Insurance Program and private marketplace, depending on a property’s location. Earthquake insurance might be obtained through the private marketplace.
Apartment building policies are primarily for the building and owner/investor. They normally don’t offer any protections for tenants or their belongings. Tenants should, instead, be encouraged to get their own renters insurance.
The cost of insuring an apartment building is highly dependent, as premiums are based on numerous factors. Some of what impacts cost include:
To find out how much insuring a particular apartment building will cost, owners should speak with an independent insurance agent. An independent agent can get custom quotes from several insurers that offer apartment building policies.
For help insuring apartment buildings located in Massachusetts, contact the independent insurance agents at Roger Keith & Sons. Our agents have helped many landlords insure their properties, and we’ll work closely with you to find apartment complex insurance that’ll protect your properties well.