What is Lessor's Risk insurance?
Lessor's Risk insurance, also known as Lessor's Risk Only, LRO or Landlord's Insurance, is a type of insurance coverage that provides protection to property owners who lease out their building space to tenants.
This type of insurance is common for owners of
- Shopping centers
- Office space
- Apartment buildings
- Other types of buildings that are leased to tenants
What does Lessor's Risk insurance cover?
The coverage provided by Lessor's Risk insurance typically includes protection against damage or loss to the property, as well as liability protection for the property owner in case of accidents or injuries that occur on the property. The specific coverage and limits of a Lessor's Risk policy can vary depending on the needs of the property owner and the tenants.
In addition to covering damage or loss to the property, Lessor's Risk insurance may also include coverage for tenant improvements and betterments. These are permanent additions or upgrades made to the leased space by the tenant. This coverage can be important for both the property owner and the tenant, as it provides protection for the investment made in the space.
What are some typical risks that may be covered by Lessor's Risk?
The coverage and limits of a Lessor's Risk policy can vary depending on the specific needs of the property owner and the tenants. It may also include coverage for tenant improvements and betterments, which are permanent additions or upgrades made to the leased space by the tenant.
Other typical risks covered by Lessor's Risk can include:
- Slip-and-Fall Accidents
- Water-related Damage (ie burst pipes)
- Smoke Damage
- Weather Damage
- Automobile Impact
Contact an insurance agent for more information
For more information about insurance solutions, talk to an insurance agent. They can help you determine how much coverage you need. Contact us to help you find an insurance agent in your area.
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