1. Doesn’t my property manager already have insurance?
Property Managers should carry Errors and Omission (E&O) and General Liability Insurance. E & O protects the owner and property manager from any financial loss that is related to a mistake made by the property manager. General Liability covers the company from loss caused by common day-to-day business errors found in any company.
2. How will adding them to my policy protect my property manager?
Adding your property manager will protect them from the one area their insurance does not cover: protection against lawsuits due to incidences within the home. If a person were to slip and fall or a burglary to occur, your insurance will protect you from a lawsuit. These issues are not a result of a management error so your property manager would not be covered by their insurance. Your property manager could be sued because they have assumed responsibility for the home while under management.
3. Will I be charged by my insurance company?
It is not common to be charged to add their name. Some companies, however, will charge to add an additionally insured. The expense of adding the property manager to your policy is covered by the owner because the owner could choose to go with a company that does not charge.
4. Can I just add them as an additional interest?
Additional interest means your insurance company will notify them about renewals, cancellations, and changes it policies. This provides no protection against lawsuits.
5. My insurance company has never heard of this. What does that mean?
Usually this means your insurance company does not have a lot of experience with landlord-tenant law and coverage. We recommend these local firms who offer competitive rates and are experienced in these issues:
– McGriff -Williams Insurance: 352-371-7977; [email protected]
– Bo Green Insurance: 352-271-8888; [email protected]