Property Manager Insurance
Property managers work in an industry with unique risks, including rental disagreements and damaged tenant property. They also face risks common to all industries, such as employees being accidentally injured while working. Fortunately, there are many property manager insurance policies that help protect businesses should an unfortunate incident occur. Here we look at some of the most important insurance policies for a property management business.
Property Manager Insurance Policies
General Liability Insurance
A general liability policy covers your company against common risks associated with property management. One of its main areas of focus has to do with customers or outside visitors who suffer bodily harm while on your property or at your office. General liability covers the cost of the visitor’s medical bills as well as legal fees and settlements. Note that this does not cover employee injuries, which are covered under a separate workers’ compensation policy.
If a visitor or client suffers property loss or damage during the course of business, this is also covered. For instance, if you are showing a client’s property and accidentally damage an expensive piece of furniture, the policy will cover the cost of repairing or replacing it. Should the client decide to sue, general liability covers the cost of associated legal fees. Importantly, this policy also covers legal fees related to defamation and copyright or brand infringement.
Workers’ Compensation Insurance
Whether at the office or working off-site at a client’s property, employees are susceptible to accidents that can cause injuries. A workers’ compensation policy covers medical costs and lost wages for employees who are injured on the job, making it a vital piece of an insurance plan for any property management business. Coverage includes medical bills in addition to any required ongoing care, including physical rehabilitation.
Another key element of workers’ compensation insurance is protection in the event of a lawsuit. We’ve all heard stories of employees suing their companies after suffering on-the-job injuries, and this policy offers crucial protection. Its coverage includes attorney’s fees, witness fees, and any settlements or court-mandated judgments. Workers’ compensation insurance is a requirement in most states for companies that have at least one employee.
Tenant Discrimination Insurance
This is a critical part of an insurance plan for today’s property managers, as growing awareness and acknowledgment of equal rights have fostered an environment where accusations of discrimination can carry heavy penalties. Individuals and their attorneys are more willing than ever to file a lawsuit against a property manager if they feel they have been discriminated against in any fashion, making tenant discrimination insurance almost mandatory.
This policy covers legal fees for both property owners and property managers in the event that a tenant files a lawsuit alleging discrimination on the basis of factors such as race, gender, disabilities, or familial status.
These are some of the most important policies that a property management company should carry as part of its broader insurance coverage. To learn more, contact ISU-Armac and find the best insurance plan to protect your property management company both now and in the future.