Put the odds in your favour – and the tenant’s!
According to recent data from the Insurance Bureau of Canada, more than one third of tenants do not have home insurance. CORPIQ strongly recommends that landlords require their tenants to take out home insurance when they sign the lease. This insurance protects both parties in the event of damage to the dwelling in the event of a fire or flood, for example.
Make sure your tenants have complied with the terms of the lease
Landlords are encouraged to verify that tenants have proof of insurance after they move in. It is very likely that despite the requirement to have home insurance as per the terms of the lease, a tenant does not bother to purchase it.
An omission that can be very costly
Unfortunately, it is often too late when a landlord realizes this situation. Following a disaster, a tenant may be faced with expensive repair costs, putting his or her financial health at risk. So don’t hesitate to ask for proof of insurance!