Landlord Liability Insurance for Apartments: What’s Covered & What Isn’t
- Nate Jones, CPCU, ARM, CLCS, AU
- 5 days ago
- 2 min read
Updated: 4 days ago
Owning an apartment building means taking on significant legal and financial responsibility. One of the most important protections you can have is landlord liability insurance—yet many owners don’t fully understand what it covers or where gaps may exist.
Knowing what landlord liability insurance does and does not cover helps apartment owners avoid uncovered lawsuits, tenant injury claims, and expensive legal fees.
What Is Landlord Liability Insurance?
Landlord liability insurance protects apartment owners if a tenant, visitor, or third party is injured on the property and holds the owner legally responsible. This coverage is a core part of most apartment and commercial landlord insurance policies.
Unlike homeowners insurance, landlord liability coverage is designed for income-producing, multi-unit properties.
What Landlord Liability Insurance Typically Covers
Tenant and Visitor Injuries
If someone slips on icy stairs, trips on uneven pavement, or is injured in a common area, landlord liability insurance can cover medical expenses, legal defense, and settlements.
Legal Defense Costs
Even if a claim is unfounded, legal fees can be expensive. Liability insurance helps cover attorney fees, court costs, and settlements.
Common Area Accidents
Coverage generally applies to shared spaces such as:
Hallways and stairwells
Parking lots
Elevators
Laundry rooms
Certain Property Damage Claims
If negligence on your part causes damage to a tenant’s personal property (for example, a known leak that wasn’t repaired), liability coverage may apply.
Tenant Personal Property
Landlord liability insurance does not cover tenants’ belongings. Tenants should carry renters insurance for their own protection.
Intentional Acts
Damage or injuries caused intentionally by the landlord are excluded.
Poor Maintenance or Code Violations
Claims arising from unresolved maintenance issues or building code violations may be denied. Local housing standards and safety expectations are often outlined by organizations like the U.S. Department of Housing and Urban Development (HUD).
Floods and Certain Natural Disasters
Most liability policies exclude flood-related claims. Properties in flood-prone areas may require separate flood insurance, which you can learn more about through FEMA’s National Flood Insurance Program.
Employee Injuries
If you employ maintenance staff or property managers, their injuries are typically covered under workers’ compensation—not landlord liability insurance.
Why Apartment Owners Need Higher Liability Limits
Apartment buildings carry more risk than single-family rentals due to:
Multiple tenants
Higher foot traffic
Shared amenities
Many owners add umbrella liability insurance to extend protection beyond standard limits and safeguard personal assets.
How Wexford Insurance Can Help
At Wexford Insurance, we specialize in landlord and apartment insurance solutions designed for multi-unit properties. We help apartment owners secure the right liability limits and supplemental coverages to protect against lawsuits, tenant injuries, and unexpected claims.
