Landlord insurance sounds good in theory, have you ever made a claim though?
Consider the standard NRMA landlord insurance policy
"We will pay the amount of rent in default minus 4 weeks rent." Since when do you allow 4 weeks rent default before eviction?
We will NOT cover - "loss or damage caused unintentionally or accidentally" - "Damage caused as a result of repairs or attempted repairs carried out by the tenant or anyone acting on their behalf " - "tenant neglect, carelessness, poor housekeeping, or unhygeinic living habits"
Well that pretty much covers all the expenses by my last bad tenants. In fact "tenant neglect" pretty much covers all damage I've seen over the years, just not sure how strictly they enforce it. It certainly doesn't sound like they're going to pay for place to be cleaned up (which can cost thousands).
Perhaps there are better policies, but the (current) NRMA one quoted above seemed pretty similar to ones I read years ago.
