Homeowners vs. Landlord Insurance

Homeowners insurance covers a home you live in; landlord insurance (a dwelling or DP-3 policy) covers a property you rent to tenants, with added protections like rental-income loss and landlord liability.

Different Policies

By the Home & Dime Editorial Team · Updated 2026

Homeowners insurance

  • For owner-occupied homes.
  • Covers structure, your belongings, liability, loss of use.

Landlord insurance

  • For rental properties.
  • Covers the structure and landlord liability.
  • Adds loss of rental income; does NOT cover tenants’ belongings (they need renters insurance).

Common exclusions

  • Using a homeowners policy on a rental (can void coverage)
  • Tenants’ belongings (their renters policy)
  • Normal wear between tenants

State considerations

Renting out a home on a standard homeowners policy can lead to denied claims — insurers require a landlord policy for tenant-occupied properties.

Frequently asked questions

Can I use homeowners insurance on a rental?

No — you need landlord insurance once tenants move in.

Does landlord insurance cover tenants’ stuff?

No — tenants need their own renters insurance.

Related guides

Sources: Insurance Information Institute (iii.org); Consumer Financial Protection Bureau; FEMA; state Departments of Insurance. General information, not insurance advice.

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *