Landlord Insurance in Denver Colorado

Denver, Colorado Landlord Insurance

Landlord insurance, also called rental dwelling insurance, protects properties you rent to tenants in Denver and throughout Colorado. It's different from homeowners insurance because it covers the unique risks you face as a property owner and landlord, not as a resident occupying the home.

Why You Need Landlord Insurance in Denver, Colorado

Colorado law doesn't require landlord insurance, but your mortgage lender will likely require it if you're financing your rental property. Even without a requirement, landlord insurance is essential for protecting your investment. Colorado presents unique risks for rental property owners—hailstorms along the Front Range can damage roofs and siding, wildfires threaten properties in certain areas, and winter storms can cause frozen pipes and water damage. Colorado also has an above-average property crime rate, making theft and vandalism coverage important. Landlord insurance protects your investment property from damage, covers lost rental income when your property is uninhabitable, provides liability protection for tenant and guest injuries, and protects against tenant-caused damage beyond security deposits.

Landlord Insurance Coverage Options in Denver, Colorado

Dwelling Coverage

Dwelling coverage protects your rental property's structure—including the roof, walls, floors, and foundation—from fire, wind, hail, lightning, and other covered perils. Other structures coverage extends protection to detached garages, sheds, fences, and other buildings on your rental property. Given Colorado's frequent hailstorms and severe weather, adequate dwelling coverage is essential.

Liability Coverage

Landlord liability coverage protects you if tenants, their guests, or visitors are injured on your rental property. It covers medical expenses, property repairs, and legal costs including attorney fees, court costs, and settlements if you're sued. This coverage is critical—slip-and-fall injuries, dog bites, and other accidents can result in expensive lawsuits.

Loss of Rental Income

Loss of rental income coverage reimburses you for lost rent when your property becomes uninhabitable due to covered damage like fire or storm damage. This coverage helps maintain your cash flow while repairs are completed. Note that it doesn't cover lost rent due to tenant financial problems or nonpayment.

Personal Property Coverage

Landlord personal property coverage protects items you provide for the rental, such as appliances, lawn equipment, tools, and furnishings. It does not cover your tenant's belongings—that's what renters insurance is for.

What Landlord Insurance Doesn't Cover

Landlord insurance doesn't cover your tenant's personal belongings—require your tenants to purchase their own renters insurance. Standard policies also exclude flood damage, earthquakes, and normal wear and tear. Intentional damage by you is not covered, though tenant-caused damage typically is. Business activities conducted from the rental property may require separate coverage.

What About Vacant Properties?

Standard landlord insurance policies may not cover properties vacant for extended periods—typically more than 30 days. Vacant properties face increased risks of vandalism, theft, and undetected damage like burst pipes. If your rental will be unoccupied between tenants, inform your insurance agent. You may need vacant dwelling coverage to maintain protection during vacancy periods.

How Much Does Landlord Insurance Cost in Denver, Colorado?

Landlord insurance in Colorado typically costs between $900 and $2,900 per year, depending on property type, location, coverage amounts, and the property's condition. Properties in areas with higher crime rates or severe weather exposure may have higher premiums. Multi-unit properties cost more due to greater liability exposure. Landlord insurance typically costs 15-25% more than homeowners insurance due to additional rental property risks.

Can I Require Tenants to Have Renters Insurance?

Yes. Colorado landlords can require tenants to carry renters insurance as a condition of the lease. This protects your tenants' belongings and provides them liability coverage, reducing potential disputes and claims against your policy. Many landlords require at least $100,000 in tenant liability coverage.

Get a Landlord Insurance Quote in Denver, Colorado

Our landlord insurance agents serve Denver, Colorado and surrounding areas including Aurora, Golden, Lakewood, Thornton, and Westminster. Contact Seguros Ideal Inc today for a free quote.