The building is an investment. Insure it like one.
A rental isn't a home you live in — it's an asset that has to keep producing income. American Modern writes the specialty dwelling coverage that protects the structure, the rent, and your liability as an owner, including rentals that sit vacant between tenants. Here's what a landlord policy covers, the form choice that decides your claim, and the Arkansas details that matter.
The short answer
American Modern landlord (dwelling-fire) coverage protects the rental structure, loss of rents, landlord liability, and your own property in the unit — but not the tenant's belongings (their lease should require renters insurance). The choice that decides your claim is the coverage form: a DP-1 covers named perils on an actual-cash-value basis, while a DP-3 covers the structure open-peril on replacement cost. American Modern also covers the vacant turn between tenants that standard policies restrict. Rated A+ (Superior), backed by Munich Re.
A landlord policy isn't a homeowners policy.
Two rentals with identical addresses can settle a claim completely differently — because of a form choice nobody explained at the quote.
perils + ACV the form choice
A basic dwelling-fire form covers only listed perils and pays actual cash value, subtracting depreciation. A DP-3 covers the structure open-peril and pays replacement cost. Same building, very different claim.
What a landlord policy is really for.
It protects three things a homeowners policy on your own house doesn't: the structure as a rental, the rental income if a covered loss makes it uninhabitable (loss of rents / fair rental value), and your liability as a landlord if a tenant or guest is injured. What it deliberately doesn't cover is the tenant's stuff — that's on the tenant.
The lever most owners never touch is the form. A DP-3 on replacement cost is what you want on a rental you're keeping; a DP-1 may be all a rough or transitional property qualifies for. Getting that right — plus loss-of-rents and liability limits that match the property — is the difference between a rental that recovers from a fire and one that becomes a loss.
Rents, vacancy, and the tenant's coverage.
Landlord insurance isn't required by Arkansas law, but any lender on the property will require it, and running an uninsured rental is a bet no serious owner makes. The coverage to prioritize beyond the structure is loss of rents — if a fire or storm makes the unit uninhabitable, this pays the income you'd have collected while it's repaired, which is often what actually keeps the investment solvent through a claim.
The exposure owners underrate is vacancy. Standard policies restrict or exclude coverage once a dwelling sits empty beyond a set number of days — exactly the window between tenants, during a renovation, or on a slow listing, when vandalism and undetected water damage are most likely. American Modern writes specialty vacant and seasonal coverage, so the turn doesn't become a gap.
And require your tenants to carry renters insurance in the lease, often with a minimum liability limit. It protects their belongings, covers their liability, and keeps a tenant's loss from landing on your policy. In hail-prone Arkansas, also confirm how the wind-and-hail deductible and roof settle on the rental — same exposure as any Arkansas roof.
The vacant turn is where rentals get hurt.
Most landlord losses that become disputes trace back to a property sitting empty longer than the policy allows — a pipe bursts in an unoccupied unit, or a vacant house is vandalized. If your rental will be empty during a turn or a renovation, tell us up front so the coverage form actually responds instead of pointing to a vacancy clause.
The coverages inside a landlord policy.
Dwelling
The rental structure against covered perils. The form (DP-1/2/3) sets whether it's named or open peril and whether it settles at ACV or replacement cost.
Other Structures
Detached structures on the lot — a garage, fence, or shed. Easy to overlook and worth confirming on a property with outbuildings.
Fair Rental Value / Loss of Rents
Pays the rental income you lose while a covered loss makes the unit uninhabitable. Often the coverage that keeps the investment solvent through a claim.
Landlord Liability
Defends and pays if a tenant or visitor is injured on the property and you're responsible. Set the limit to the asset, and consider an umbrella above it.
Landlord's Personal Property
Your property kept at the rental to service it — appliances, a mower, furnishings in a furnished unit. Not the tenant's belongings, which their renters policy covers.
Vacancy & Specialty Options
Specialty vacant and seasonal coverage for the turn between tenants or a renovation, plus endorsements like vandalism where a standard form pulls back.
The factors behind the number.
A rental is rated on the building, who's in it, and how it's covered. A few factors do most of the work.
Property Condition & Age
The age, construction, roof, and overall condition of the rental. Drives both the rate and which coverage forms the property even qualifies for.
Occupancy & Tenants
Whether it's rented, vacant, or being renovated, the tenancy type (long-term, student, short-term), and turnover. Occupancy is a major driver — vacancy especially.
Coverage Form & Valuation
DP-1 vs DP-3, named vs open peril, ACV vs replacement cost, and your loss-of-rents and liability limits. This is where coverage decisions become price.
Location, Deductibles & Claims
The property's location and weather exposure, your deductibles including wind-hail, and the claim history on the property. The usual Arkansas levers apply.
One door or a small portfolio.
American Modern writes specialty dwelling and landlord risk; a growing portfolio may move to a commercial market. Treat this as a starting point.
Single rental or a portfolio? We'll route it right.
A single rental usually fits a personal dwelling-fire policy; a portfolio or a mixed-use building is often a commercial placement. Because Cribb carries both specialty dwelling and commercial markets, we put the property on the correct kind of policy — and compare American Modern against the alternatives — instead of forcing one form to do a job it wasn't built for.
Priced on the property and the form.
Landlord premium depends on the property's age and condition, its occupancy (rented, vacant, or under renovation), the coverage form and valuation you choose, your loss-of-rents and liability limits, and the Arkansas wind-and-hail exposure. Those vary too much for a webpage figure to mean anything, so we don't publish one. This isn't a quote or a guarantee. What reliably helps: tell us the property, the tenancy, and the rent, and we'll build the number and route it to the right market.
A+ (Superior), backed by Munich Re.
American Modern carries an A+ (Superior) Financial Strength Rating from AM Best and is a Munich Re company. On a rental, that strength matters most after a widespread weather event, when the claim has to pay quickly so the property gets back to producing income — and a Munich Re balance sheet is a genuine reassurance there. A rating is a solvency opinion, subject to change, not a claims-handling opinion.
Where we earn it on a rental.
The landlord mistakes are consistent: the wrong coverage form for the property, loss of rents set too low or missing, a vacancy that voids a claim, and no renters-insurance requirement in the lease. We set the form to the property, size the income and liability limits, confirm the vacancy terms, and route a portfolio to the commercial market when it outgrows a personal policy.
The policies around this one.
American Modern landlord questions.
What does American Modern landlord insurance cover?
A landlord (dwelling-fire) policy covers the rental structure, other structures, loss of rents if a covered loss makes the unit uninhabitable, landlord liability if a tenant or visitor is injured and you're responsible, and the landlord's own property such as appliances.
What it doesn't cover is the tenant's belongings — which is why leases should require the tenant to carry renters insurance. American Modern writes these on dwelling forms, and the form you choose changes what perils are covered and how a claim settles.
What's the difference between DP-1, DP-2, and DP-3?
They're the three dwelling-fire forms, and the difference is significant. DP-1 is most basic: a short list of named perils, typically settled on actual cash value (depreciation subtracted). DP-3 is broadest: the structure on an open-peril basis, typically settled on replacement cost. DP-2 sits in between on a broader named-peril basis.
On a rental you plan to keep, a DP-3 is usually the stronger choice; a rough or transitional property may only qualify for a DP-1.
Does my tenant need their own insurance?
Yes, and your lease should require it. Your landlord policy covers the building and your liability as the owner, but it does nothing for the tenant's furniture, electronics, or clothes, and nothing for the tenant's personal liability.
Renters insurance is inexpensive and fills that gap. Requiring it in the lease, often with a minimum liability limit, protects both sides and reduces the chance a tenant looks to your policy after their own loss.
Is landlord insurance a personal or commercial policy?
It can be either. A single rental dwelling is often written on a personal dwelling-fire policy, while a portfolio of rentals or a mixed-use building is usually a commercial placement.
American Modern writes specialty dwelling and landlord risks, and Cribb also has commercial markets, so we can place a single rental or a growing portfolio and put it on the right kind of policy. Tell us how many units you own and we'll point it to the correct market.
Does American Modern cover a rental that sits vacant between tenants?
This is one of the most important details in landlord insurance. Standard policies restrict or exclude coverage once a dwelling is vacant beyond a set number of days — exactly the window between tenants when a property is most exposed to vandalism and undetected water damage.
American Modern writes specialty vacant and seasonal dwelling coverage, so a rental that will sit empty during a turn, a renovation, or a long listing can be covered properly rather than left with a gap. We confirm the vacancy terms before it becomes a problem.
How do I get an American Modern landlord quote in Northwest Arkansas?
Start at our personal quote or call (479) 286-1066, and tell us about the property: how many units, the age and condition, whether it's currently rented, vacant, or being renovated, and the monthly rent.
We'll recommend the right coverage form, set the loss-of-rents and liability limits, and compare American Modern against our other dwelling and commercial markets so the rental is covered the way an investment should be.
If our coverage guides and carrier comparisons are helpful, mark Cribb Insurance as a preferred source so more Northwest Arkansas property owners can find our local explanations.
American Modern is one of 40+ carriers we represent.
Which means we can put your rental on the right form and the right kind of policy — personal or commercial — and tell you honestly whether American Modern or another market fits best. Tell us the property, the tenancy, and the rent, and we'll set the form, size loss-of-rents and liability, and confirm the vacancy terms. If a different carrier fits better, we'll say so.
Cribb Insurance Group Inc. is an independent insurance agency licensed in Arkansas. We are not American Modern Insurance Group or Munich Re, and this page is not endorsed, sponsored, reviewed, or approved by them. "American Modern," "Munich Re," and related marks are marks of their respective owners, used here nominatively to identify a carrier we may compare. American Modern coverage is issued by its group underwriting companies, which may include American Modern Home Insurance Company and American Family Home Insurance Company; the underwriting company, coverage form, and program vary by state, product, and risk.
This page describes coverage in general terms for informational purposes only. It is not a policy, not an offer of insurance, not legal advice, and not a guarantee of coverage, availability, eligibility, or price. American Modern is a specialty insurer; landlord and dwelling coverage is written on dwelling-fire forms (such as DP-1, DP-2, and DP-3) whose covered perils and valuation basis (replacement cost or actual cash value) differ by form. A single rental may be written as a personal dwelling policy while a portfolio or mixed-use risk is typically commercial; product availability and eligibility vary by state and are subject to underwriting approval and to the terms, conditions, limits, and exclusions of the policy actually issued. Loss-of-rents, vacancy, wind-and-hail, and roof-settlement terms are general and vary by form; flood is a separate policy not included by default. If anything on this page conflicts with the issued policy, the policy controls.
Financial strength ratings are opinions of an insurer's ability to meet its ongoing insurance obligations, are subject to change, and are not recommendations to purchase, hold or terminate any policy, nor do they address an insurer's claims-handling practices; current ratings are at ambest.com. The A+ (Superior) Financial Strength Rating referenced is assigned by AM Best to American Modern Insurance Group and its members; Munich Re also carries an A+ (Superior) Financial Strength Rating. Cost statements describe how specialty premiums are generally rated and are not a quote, not carrier-specific, and not a guarantee of your rate.
Last reviewed July 2026.