Apartment Building Insurance in Vermont
What is Apartment Building Insurance?
Apartment buildings can be profitable business ventures, but they don’t come risk-free. Building damage and liability lawsuits are just a couple of the potential risks that building owners face. Apartment building insurance gives building owners in Vermont a way to prepare for many of the risks they face.
Apartment building insurance is similar to landlord insurance, except that apartment building policies are typically used to insure buildings that are much larger than single-unit and small multi-unit structures. These policies are designed to handle the additional complexities and risks that come with owning large apartment buildings.
What Coverages Does Apartment Complex Insurance Offer?
In order to meet building owners’ multifaceted needs, apartment complex insurance policies tend to come with an array of coverages. The exact coverages that are included in any one policies can vary, but there are a number of property and liability protections that most policies make available.
The property coverages contained in apartment complex policies typically provide protections for physical assets (e.g. buildings, equipment, landscaping) against covered perils. Some of the property coverages that are commonly included in policies are:
- Commercial Property Coverage, which may cover an apartment building and its landscaping
- Commercial Contents Coverage, which may cover portable equipment kept in a building
- Boiler and Machinery Coverage, which may cover larger, immobile equipment that’s in a building
- Backup and Sewer Drains Coverage, which may offer coverage for damage caused by certain plumbing problems
The liability protections found within apartment complex policies generally offer protections against covered lawsuits that seek to hold a building owner accountable for personal injury or property damage. Some of the most common liability protections include:
- General Liability Coverage, which may cover a range of common accidents
- Professional Liability Coverage, which may cover building owners who give tenants unfounded advice
- Hired and Non-Owned Liability Coverage, which may cover employee and rented vehicles that are used for work-related purposes
- Umbrella Coverage, which may offer additional protection beyond what’s afforded by these other liability coverages
In addition to these property and liability coverages, many building owners also choose to get rental income coverage. This protection may provide compensation if rent can’t be collected due to a covered incident.
Is Workers Compensation Coverage Included in Apartment Complex Insurance?
Although many apartment building owners in Vermont need workers compensation coverage because they have employees, this coverage usually isn’t included in apartment complex insurance policies. Instead, it’s normally purchased separately, as a stand-alone policy.
Purchasing a separate workers compensation policy after getting apartment complex insurance isn’t difficult. Insurance agents who help building owners find apartment complex policies are typically also able to help with workers compensation coverage.
What Vermont Businesses Need an Apartment Building Policy?
Landlords, including both individuals and businesses, generally should insure their buildings and themselves. Whether a landlord or apartment building policy is more appropriate for any specific person or business that has a rental property depends on the size of the property, the number of tenants in the building, the legal structure of the business and many other factors.
How Can Building Owners in Vermont Get Apartment Building Insurance Policies?
For help securing apartment building insurance, individuals and businesses that own apartment buildings in Vermont should contact an independent insurance agent who specializes in apartment building policies. An agent who knows the details of these policies will be able to make coverage recommendations, and they’ll also know whether a landlord or apartment building policy is more appropriate. Being independent, they will also have the freedom to show building owners the best available policies regardless of what insurer the policies are offered by.
