Dwelling Fire Insurance Policy (DP3)
In California, dwelling fire insurance or landlord insurance is an insurance policy that covers up to 4 units residential property that are rented to others, such as apartments. DP3 policy is specifically designed to protect landlords who are looking to get excellent insurance for their rental properties. If you have a mortgage, your lender is likely to require at least this level of coverage. Don’t be mislead, dwelling fire insurance covers much more than just fire. The policy covers losses to the structure, loss of use or rental coverage, and liability protection. These policies also allow additional coverage through endorsements. A DP-3 policy is ideal for:
- Landlords who acquire rental and investment property and do not need to insure others’ personal possessions, as they do their own.
- Owners of properties under construction or renovation.
- Owners of properties not occupied full time, such as seasonal homes or second homes.