Investing in real estate can be a great way to grow your wealth. You will want to protect your investment once the purchase has been made, and this can be done with a special type of homeowners insurance designed to cover tenant-occupied properties.

Here are three things to keep in mind as you work with your insurance agent to create a home insurance policy for your rental properties in the future.

1. Be sure your policy covers major appliances in the event of a natural disaster.

While most property owners know that they need to take the time to ensure that their homeowners insurance policy will provide financial compensation for any structural damage caused by a natural disaster, few landlords take the time to check that the appliances in their rental homes will be covered as well.

Replacing a refrigerator, oven, or washing machine that has been damaged by flood waters or a tornado can be costly. Make sure that your rental properties are protected by a homeowners insurance policy that covers the cost of replacing these major appliances after a natural disaster strikes.

2. Be sure your policy covers additional structures your tenants may be using.

A traditional owner-occupied homeowners insurance policy will cover all of the buildings that are located on your property, but the homeowners insurance policies created for rental properties may only cover the actual home.

If your tenants will be using a garage, storage shed, or other structure, you may need to have your insurance agent add on coverage of these structures as an endorsement to your insurance policy. Taking the time to make sure all the structures on your rental properties are insured will guarantee financial compensation should these buildings become damaged in the future.

3. Be sure your policy covers personal belongings if your rental will be furnished.

Landlords that rent out vacation properties may wish to furnish their rental units to make occupancy easier. If you are planning to place furnishings that you have purchased inside of your rental homes, then you need to ensure that your homeowners insurance policy covers personal belongings.

Should a tenant damage an expensive couch or table, a policy that provides coverage for personal belongings will give you the option of filing a claim to recoup the cost of replacing these furnishings.

Securing a homeowners insurance policy for your rental properties is simple, but it requires that you pay close attention to the language in your policy if you want to ensure full coverage. Be sure your rental homeowners insurance policies provide coverage for appliances, additional structures, and personal belongings to protect your financial investment.