Rental Property Insurance Calculator

DP-1 vs DP-3: which do you need?

Landlord insurance comes in two main forms. Both cover the dwelling structure(not tenants' belongings — that's their renters insurance).

• DP-3 (Special Form) — Standard for most landlords. Covers against all perils except a short excluded list (floods, earthquakes, ordinary wear). Recommended for occupied rentals in good condition.
• DP-1 (Basic Form)— Named-peril only (fire, lightning, wind, hail, vandalism, etc.). About 30% cheaper but leaves gaps. Worth considering for vacant properties or when the home is in rough shape and you're rehabbing.

Why rental insurance is different from homeowners (HO-3)

Landlord policies are NOT the same as homeowners. HO-3 assumes an owner-occupied home and covers personal belongings inside. DP-3 assumes an investor-owned rental and only covers the structure — PLUS it adds coverage for loss of rent (if the home is uninhabitable after a covered event) and landlord liability (tenant injuries, guest claims). Using an HO-3 policy on a rental can void your coverage at claim time. Always use DP-1 or DP-3 for rentals.

How to lower your premium

• Higher deductible — going from $1K to $2.5K typically saves 10-15%
• Bundle multiple properties with a portfolio policy (NREIG, American Modern specialize)
• Raise liability limits, lower dwelling if the replacement cost is inflated above actual market
• Update the roof, plumbing, electrical — carriers discount recent updates 5-15%
• Require renters insurance in your lease — some carriers give a discount for this

What this calculator doesn't include

This is an industry-averaged estimate based on state + dwelling value + property type + age. Actual quotes depend on your credit score, claims history, specific property condition (roof age, electrical panel, foundation), and the carrier's underwriting. Wind, hurricane, and flood are typically separate policies or riders — especially in coastal / high-wind zones. Get an actual quote before budgeting this number.