Landlord Insurance Premium Estimator (2025)
Estimate the annual cost of insuring your rental property, including dwelling coverage, liability protection, and loss-of-rent insurance.
Replacement cost of building
Used to estimate rent loss coverage
Risk factor
Impacts premium
Regional risk
For multi-property owners
Impacts cost
Optional
What This Estimator Does
The Landlord Insurance Premium Estimator helps property owners understand what their rental coverage might cost, factoring in property value, type, location, and risk exposure. It offers an instant snapshot of likely premiums before obtaining quotes.
What Landlord Insurance Covers
Landlord insurance typically includes:
- Dwelling coverage: Protects the building structure
- Liability coverage: Covers tenant injuries or lawsuits
- Loss of rent: Reimburses income lost due to covered damage
- Contents coverage: For landlord-owned furnishings or appliances
Optional add-ons:
- Flood or earthquake coverage
- Vandalism/theft protection
- Rent default insurance
Average Landlord Insurance Costs (US Data 2025)
| Property Type | Average Premium | Notes |
|---|---|---|
| Single-Family Rental | $1,200/year | Low risk |
| Multi-Family Duplex | $1,800/year | Moderate risk |
| Small Apartment (4 units) | $2,400/year | Higher liability exposure |
| Commercial Rental | $3,000–$5,000/year | Dependent on tenant business type |
Landlord insurance is usually 15–25% more expensive than standard homeowners insurance due to tenant-related risks.
Factors That Affect Premiums
- Location, High-crime or flood-prone areas, higher cost
- Property Type & Age, Older or multi-unit buildings cost more
- Coverage Level, More add-ons, higher premium
- Deductible Size, Higher deductible, lower premium
- Tenant Profile, Student or short-term rentals, may raise rates
- Security Measures, Cameras, alarms, and locks lower risk
Tips to Save on Landlord Insurance
- ✅ Bundle with auto or umbrella insurance
- ✅ Increase deductible to $1,500+
- ✅ Install monitored security or fire systems
- ✅ Choose annual payments for small discounts
- ✅ Regularly update tenant safety certifications
Frequently Asked Questions
Q1: What's the difference between landlord and homeowners insurance?
A: Homeowners insurance doesn't cover tenant-caused damage or lost rent, landlord insurance does. Landlord policies specifically protect rental property risks including tenant liability, loss of rental income, and property damage by tenants.
Q2: Is landlord insurance mandatory?
A: Not legally, but most lenders require it for rental properties. Additionally, landlord insurance protects your investment from tenant-related risks that standard homeowners policies won't cover.
Q3: Can I claim landlord insurance premiums as tax deductions?
A: Yes, they are generally deductible business expenses. Landlord insurance premiums are considered ordinary and necessary expenses for running your rental property business.
Q4: Does it cover tenant default (non-payment)?
A: Only if you add a rent guarantee rider. Standard landlord insurance covers property damage and liability, but not tenant non-payment unless you purchase additional coverage.