Tell your insurer
The Insurance Bureau of Canada says to talk to your insurance representative before you rent out a basement, a bedroom or your whole home, and to keep a written record that you told them. If your insurer doesn't know you have a tenant, your policy could be voided. A rental property you don't live in needs its own policy.
What to ask about
- Property coverage for the building and anything you supply, such as appliances and furniture.
- Liability coverage in case a tenant or visitor is injured on the property.
- Loss of rental income if the home can't be lived in after an insured loss.
- Water and flood. Sewer backup and overland flood are often optional extras. If the property is near a river, check the Province's Flood Awareness Map.
- Vacancy rules. Many policies limit coverage if the home is empty for a set period.
- Condo units. Know what the condo corporation's policy covers and what your unit policy must cover.
Tenant insurance
A tenant's own policy covers their belongings and their liability, not your building. The IBC suggests making tenant insurance a requirement in the lease and asking for proof each year. The IBC's overview of home coverage types explains the difference.
General information only, not legal advice. The Residential Tenancies Act and its regulations are the final word; check the official sources above or get legal advice for your situation.