Rental dwelling insurance provides the coverage you need to protect your property against physical damage and/or personal liability claims that should arise. The policy provides dwelling coverage, other structures coverage (ie. garages, fences, or sheds), personal property stored on-site, or provided by you for use by your tenants, loss of rental income, and personal liability and medical coverage. It important to note that rental dwelling insurance only covers the owners building and contents, not any personal property inside the building that may be owned by tenants. Tenants will need to purchase a separate renters insurance policy to protect against damage or loss to their personal property. We also highly recommend our client’s require their tenant to maintain personal liability coverage of at least $300,000. The are two main types of rental dwelling insurance in Texas.