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What to Know About Insurance for Rental Properties

May 1, 2021

Being a landlord means being exposed to more risk than a traditional homeowner. The potential for frivolous lawsuits regarding rentals is significantly higher compared to a primary property. As that is the case, it’s important to protect yourself by investing in landlord insurance. But before you do, here are a few things you should know.

What you need to know about landlord insurance

What Does Landlord Insurance Cover?

Being a landlord may sound easy enough, but in reality, it can be a risky business. Lawsuits can come from anyone — for any reason — and leave you bankrupt. Luckily, landlord insurance covers a wide range of circumstances. Landlord insurance most often covers:

  • Natural disasters
  • Theft, burglary, and vandalism 
  • Damage caused by tenants
  • Injury to tenants or others on the rental property

What Affects Insurance Premiums?

Multiple affect landlord insurance premiums. Here are some of the most common factors:

Year of Construction

If your rental property is old, you can expect to pay higher insurance premiums. Older homes that have not had any upgrades in the last 20 years are more likely to experience emergencies or system breakdowns. Newer buildings, on the other hand, typically incur lower insurance premiums.

Claims History

Does your rental property have an unfavorable claims history? If so, you’re probably looking at paying more every month. Properties and owners with frequent or large claims within the past six years will have a difficult time finding a favorable insurance policy. Buildings and owners with little to no claims in the past six years will generally have better coverage options. 


The location of your rental property plays a significant factor in determining your landlord insurance premium. Certain areas have higher crime rates than others. Insurance companies factor crime into pricing, and if your property is located in an area with a high crime rate, you will likely pay more. 

Get Your FREE Quote Today

Ready to protect yourself with comprehensive landlord insurance? Look no further than American Heritage Insurance. We serve landlords in Baltimore County, Frederick County, and throughout Maryland. Contact us now to receive a free MD landlord insurance quote and purchase a policy today. 

What Our Clients Say...

Over and above the time, effort and saved dollars that you put into earning our business – your careful attention to detail in getting our coverage right is what mattered the most. Thank you for educating me about the differences in coverage and for reallocating our insurance dollars to minimize our exposure while maximizing our policies.

- Eric L, President of Jeffrey Press, Inc.

Click here to view the areas that we serve

Frederick County: Frederick (21701, 20702, 21703, 21709), New Market (21774) , Mount Airy (21771), Urbana (21704), Ijamsville (21754), Walkersville (21793), Libertytown (21762), Damascus (20872), and more.

Howard County: Clarksville (21029), Columbia (21044), Cooksville (21723), Dorsey (21075), Elkridge (21075), Ellicott City (21043), Fulton (20759), Glenelg (21737), Glenwood (21738), Granite (21163), Hanover (21076), Highland (20777), Jessup (20794), Lisbon (21765), Marriottsville (21104), North Laurel (20723), West Friendship (21794), Woodbine (21797), Woodstock (21163), and more.

Montgomery County: Olney (20832), Damascus (20872), Laytonsville (20882), Silver Spring (20910), Clarksburg (20871), Gaithersburg (20878), Germantown (20876), Bethesda (20816), Chevy Chase (20815), and more.

Baltimore County: Arbutus (21227), Catonsville (21228, 21250), Cockeysville (21030, 21031, 21065), Dundalk (21222), Edgemere (21219), Essex (21221), Garrison (21055), Lansdowne (21227), Lochearn (21207), Lutherville (21093), Middle River (21220), Milford Mill (21244), Overlea (21236), Owings Mills (21117), Parkville (21234), Park Heights (21215), Pikesville (21208), Randallstown (21133), Reisterstown (21136), Rosedale (21237), Timonium (21093), Towson (21204), White Marsh (21162), Woodlawn (21207), and more.

Carroll County: Eldersburg (21784), Finksburg (21048), Hampstead (21074), Manchester (21102), Marriottsville (21104), Taneytown (21787), Union Bridge (21791), Westminster (21157, 21158), Mount Airy (21771), New Windsor (21776), Sykesville (21784), Woodbine (21797), Taneytown (21787), and more.

We also serve the rest of Maryland and the United States.