The Best Landlord Insurance Options for 2026 (+ How to Choose)

You’re a landlord, which means you’re running a business. For property owners, managing risk is key, and a huge part of that is understanding your state's landlord-tenant laws, screening tenants, and getting landlord insurance.

While there are many types of property insurance, the one that isn’t an optional extra is landlord insurance—it’s the essential protection for your property, your income, and your investment.

Landlord Insurance vs. Homeowner's Insurance: What's the Difference?

Avoid this common mistake: Your homeowner's policy typically does not cover your rental property.

Homeowner's insurance is designed for a home you live in. The moment a tenant moves in, the risks change, which is why documenting the property's condition with a thorough move-in checklist is so important. 

If your tenant’s guest slips and falls or a kitchen fire starts—hazards you can spot with a regular rental inspection checklist—you would be left paying entirely out of pocket. This specialized rental property insurance is built specifically for the risks of renting.

What Does Landlord Insurance Actually Cover?

Landlord insurance is built on three core protections:

• Property Damage: This property coverage protects the physical building and things you own inside (like appliances) from events like fire, wind, vandalism, or burglary. You can differentiate between normal wear-and-tear and tenant damage during inspections with a detailed move-out checklist.
• Liability Protection: This is critical. If a tenant or guest is injured on your property due to something like a loose handrail—a safety issue you’d catch on an inspection before a new tenant arrival—this covers your legal fees and medical costs.
• Loss of Rental Income: Also known as loss of rent coverage, this replaces the income you lose while the unit is being repaired after a covered loss. This is crucial when a unit is empty for repairs, a time when you should also use a vacant unit maintenance checklist to prevent further issues.

Some policies also offer additional protections, such as coverage for malicious mischief by tenants (though often with specific conditions), or even flood and earthquake coverage as separate riders. Understanding these core protections is the first step in appreciating the value of a robust landlord insurance policy.

How We Evaluated the Top Landlord Insurance Providers

We didn't just pick the companies with the biggest ads. Our focus was on what actually matters to a landlord: solid coverage, fair pricing, and support that’s there when you really need it. Here’s a simple breakdown of what we looked for.

Coverage options and flexibility

Your rental portfolio is unique, so your insurance should be too. We looked for providers that allow you to build a policy tailored to your specific needs. Can you easily add coverage for a multi-unit building, or protect the lawnmower you keep on-site? The more you can tailor the policy, the better.

Pricing and value for money

The cheapest policy is rarely the best deal. We focused on value—getting excellent protection at a fair price. We looked for companies with transparent pricing and easy-to-find discounts (like for bundling policies or having smoke detectors). Good value means you're paying for coverage you can count on, not just the lowest price tag.

Customer service and claims process

When you need help during a stressful event—much like needing a clear process for an eviction—a good provider makes all the difference. We reviewed customer reviews and complaint records to identify providers known for being fast, fair, and easy to work with when you need their assistance. Real support, real fast, makes all the difference.

Online tools and ease of use

You’re busy. You don’t have time for clunky websites or endless phone calls. We prioritized providers with modern, easy-to-use online tools, which you can support with our must-have property management templates. 

Getting a quote, paying a bill, or filing a claim should be fast and straightforward. An excellent digital experience demonstrates that a company values your time.

The Best Landlord Insurance Companies

Based on our comprehensive evaluation, here are our top recommendations for landlord insurance providers in 2026. Each excels in different areas, so consider which strengths align best with your priorities.

1. State Farm: Best for Comprehensive Coverage and Local Agents

If you prefer to speak with a knowledgeable representative who understands your local market, State Farm is a great choice. Their insurance agents have years of experience and provide face-to-face advice to help you get solid coverage for property damage, liability, and lost rent.

While not always the cheapest, the value comes from their reliability and dedicated local support. They also offer great bundling discounts.

2. Liberty Mutual: Best for Customization and Bundling Options

Liberty Mutual is all about flexibility. They make it easy to build the policy you actually need without paying for extras you don’t. Need extra water backup coverage? No problem. 

They’re also highly competitive on bundling discounts, especially for your auto or home policies, which can lead to big savings. Their online quote tool is simple and fast.

3. Allstate: Best for Landlords with Multiple Properties

For landlords managing a growing portfolio, Allstate simplifies everything. They make it easy to cover multiple properties with one provider, often with discounts. 

Their "Landlord Package Policy" is straightforward, and their digital tools are strong enough to help you track everything in one place. It's a reliable choice for investors who need to stay organized.

4. Farmers: Best for Strong Customer Service and Tailored Policies

Farmers is known for great customer service, especially when you need to file a claim. If you want an insurer who acts like a partner, their agents are known for giving helpful advice and responsive support. 

The price may be slightly higher, but many landlords find the excellent service is worth it for the peace of mind.

5. Progressive: Best for Affordable Rates and Online Convenience

If you want a fast, affordable, and digital-first experience, Progressive is a strong choice. Their online quoting system is incredibly efficient, letting you compare rates and options in minutes. 

While they don't focus on local agents, their 24/7 support is always available. It's a perfect fit for budget-conscious landlords who are comfortable managing things online.

6. American Family 

American Family is a smart choice for its unique discounts, especially for landlords using smart home technology. If your property has security cameras or leak detectors, you can significantly lower your premium. They back up these savings with reliable, customizable policies and high ratings for customer service, making them a strong, well-rounded option.

How to Choose the Right Landlord Insurance

Choosing landlord insurance isn't just another task to check off a list—it's a smart business decision. This guide breaks down how to pick the right policy without the headache.

Step 1: Know Your Risks

Before obtaining quotes, identify the specific type of property you are looking for. Whether it’s a single-family home, a condo, or a duplex will impact your needs.  

Ask yourself:

• Where is it? Is it in an area known for floods, storms, or crime?
• What's its condition? Does it have old wiring or a brand-new roof?
• Are there extra liabilities? Do you have a pool, trampoline, or fireplace?

Knowing your specific risks helps you buy the coverage you need and skip what you don't.

Step 2: Understand What You're Buying

Policies have various coverage types. Focus on Replacement Cost (RCV) and understand policy exclusions (what isn't covered). Consider optional add-ons like equipment breakdown coverage or, if you live in a high-risk area, a separate flood insurance policy.

Step 3: Always Shop Around

Don't skip this step. Explore the insurance market by obtaining at least three to five quotes. An independent agent can be a great resource, as they can pull quotes from more than one insurance carrier to find you the best deal.

Step 4: Check Their Reputation

A cheap policy is worthless if the company won’t pay. Quickly look up two things:

1. Customer Reviews: Read what other landlords have to say about their claims process.
2. Financial Strength: Look for a rating of 'A' or higher from reputable rating agencies, such as AM Best. This shows they can afford to pay claims.

The information you provide about your property will undergo an underwriting process to determine your final rate, so please ensure accuracy.

Step 5: Balance Your Deductible and Premium

It's a simple trade-off:

• A higher deductible typically results in a lower monthly premium.
• A lower deductible typically results in a higher monthly premium.

Choose a deductible you could comfortably pay in cash tomorrow without stress.

Step 6: Ask for Discounts

Always ask, "What discounts are available?" You can often save money for:

• Bundling with your auto or home insurance
• Safety features like smoke detectors, deadbolts, or security systems
• Being claim-free for several years
• Paying your premium annually instead of monthly

The Smart Choice for Your Business

Choosing the right insurance is a critical step, and you can model how premiums affect your bottom line with our rental property ROI calculator. The next step is managing your entire operation with the same efficiency.

DoorLoop is the surprisingly simple property management software that helps you do it all. You can store important documents like insurance policies, track premiums as part of your property accounting and reporting, and manage maintenance requests fast to prevent small issues from becoming big claims.

Ready to manage your properties faster and easier? Get a demo of DoorLoop today.

Best Landlord Insurance FAQ

Is landlord insurnace tax deductible?

Yes. Since your rental property is a business, the insurance premiums are typically considered a business expense and are therefore tax-deductible. As always, it's a smart move to consult with a tax professional to understand how it applies to your specific situation. To see how this affects your bottom line, you can use a real estate rental income tax calculator.

Should I require tenants to have renters insurance?

Absolutely. While laws vary by location, requiring renters insurance in your lease is a smart business practice. A tenant's policy covers their personal belongings and their own liability, which reduces your risk and prevents disputes if something happens. 

You can easily add the right language to your lease with a renters insurance addendum. This helps manage expectations, similar to having a clear policy for ending a lease.

Do I need special insurance for a short-term rental?

Yes. A standard policy may not cover short-term rentals. If you list your property on Airbnb or VRBO, discuss specific short-term rental coverage with your insurer.

How much landlord insurance coverage do I need?

It varies, but here are some solid guidelines:

• Dwelling Coverage: You need enough coverage to fully rebuild your property from the ground up after a total loss.
• Liability Coverage: Most landlords start with at least $300,000 to $500,000. If you have multiple properties or high-risk features like a pool, you should consider $1 million or more.

Once you have your policy, you can track the premiums in your budget using a property management chart of accounts.

Does my landlord policy cover my tenant's personal belongings?

No, it does not. Landlord insurance covers the physical building and any property you own (like appliances you provide). Your tenant's furniture, electronics, and other belongings are their own responsibility, which is another key reason to require them to have renters' insurance.

What's the difference between landlord insurance and an umbrella policy?

Landlord insurance is your primary coverage for a specific property. An umbrella policy provides an extra layer of liability protection on top of your existing policies. If a major lawsuit exceeds your landlord policy's liability limit, the umbrella policy kicks in. It's a smart choice for landlords with multiple properties or significant assets to protect.