Understanding Tenant Legal Liability (TLL) Insurance

As a landlord or real estate investor, safeguarding your property from unexpected damage is essential to protecting your investment and providing peace of mind. With Obie’s Tenant Legal Liability (TLL) policy, which can be added to you Obie landlord policy, you can protect your properties from sudden and accidental damage without the hassle of hefty upfront expenses or complicated processes.

What Does the TLL Policy Offer?

Underwritten by Trisura Specialty Insurance Company, this policy covers property damage caused by tenants at insured locations. It automatically provides $100,000 in coverage with no deductible per occurrence, protecting you from unplanned costs if tenant-related damage happens.

Protection Highlights

Affordable Protection: The TLL policy offers coverage for single-family rentals as low as $102 per year. Pricing adjusts by unit for multifamily properties, with $206 for Duplexes, $308 for Triplexes, and $412 for Quadplexes.

No Out-of-Pocket Costs for Covered Losses: The policy covers sudden and accidental damage with zero deductible, so you won’t have to pay upfront if the unexpected happens.

Safeguards Against Inadequate Tenant Insurance: If your tenant doesn’t have renters insurance (HO-4) or has insufficient coverage, this policy steps in to protect your property. It doesn’t replace the requirement for tenants to carry their own renters' insurance but serves as an added layer of security.

Simple Policy Management: Enjoy the convenience of a single policy package and one consolidated bill, making insurance management easier and less time-consuming.

What’s Covered?

This policy protects the named insured from damage to the rental dwelling and landlord-owned furnishings provided for tenant use. It does not cover tenant belongings or loss of rent.

Common Questions on TLL

Are there any policy exclusions? 

Yes, the TLL policy does have some exclusions. A key one to note is the Expected or Intended exclusion. TLL coverage will not apply for this particular exclusion when the tenant causes expected or intended damage.

Can an existing Obie customer add TLL to their policy?

Yes! TLL can be added to an existing policy; however, updating the coverage may require a few extra steps. To simplify the process, it is recommended that you add TLL at your policy’s renewal.

How do you add TLL to the Obie landlord policy in the quoting platform?

During the quoting process, the TLL policy will appear as an optional offer on the Additional Coverages screen, and the $100,000 limit will default to “yes.” If you do not want the additional coverage, you can easily remove it with a “click of a button.”

What type of policy documents will a policyholder receive?

As a policyholder, you will receive a consolidated policy packet that includes:

• A new coverage summary letter detailing:some text
  • Total premium amount for both the Landlord Dwelling Policy (DP) and TLL policies
  • Policy information and property coverage details
  • Deductibles and liability coverage specifics
  • Additional coverages included in your policy, etc.
• The standard Obie-branded Declaration (Dec) page
• The TLL Evidence of Coverage (EOC) form

What happens if  TLL is not added to the policy during the quoting process? 

If TLL coverage is not selected, you will only receive the Obie DP Policy packet.

Will the policyholder receive two separate bills?

No. Obie will issue a single bill.

What happens to the TLL policy if the Obie landlord policy is canceled mid-term? Is it canceled automatically?

The TLL policy will automatically be canceled, effective the same day as the Obie DP policy. The full 12-month amount for TLL coverage is charged upfront, but if the policy is canceled, you will receive a prorated refund for both the Obie landlord and TLL policies.

How does a policyholder report a claim?

As a policyholder, you will report TLL claims as you do for all claims via your client dashboard.

What is the best way to contact Obie’s Customer Service team?‍

Our Service team is available via email at support@obieinsurance.com or via phone at (773) 820-7132 Monday through Friday, from 9 am to 9 pm ET.

Start Protecting with a Quick, Easy Quote

Finding the right insurance coverage is key to protecting your rental properties from unexpected risks. But navigating the insurance landscape doesn't have to be complicated.

Obie is on the pursuit of simplifying the process. Our easy-to-use online platform provides instant quotes tailored specifically for landlords and investors—no paperwork, no hassle. Whether you prefer speaking with an expert or binding a policy in minutes, Obie makes it quick and seamless.

Click, get a quote, and protect your investment today.