When it comes to protecting your property, not all homes are created equal—especially if you own a duplex. Whether you live in one unit and rent the other, or rent out both sides, understanding your home insurance needs is crucial. At CF&P Insurance, we’ve been helping California homeowners find the right coverage since 1937. Here’s what you need to know about insuring your duplex and securing your investment.
A duplex is a residential building divided into two separate units, each with its own entrance, kitchen, and living space. Duplexes can be owner-occupied (where you live in one unit and rent the other) or fully rented out. This unique setup means your home insurance requirements may differ from those of a traditional single-family home.
Insuring a duplex comes with distinct considerations:
Occupancy: Are you living in one unit or renting out both?
Ownership Structure: Is the property owned by an individual, a trust, or an LLC?
Rental Activity: Are you renting long-term or using platforms like Airbnb for short-term stays?
These factors influence the type and amount of coverage you need. Standard homeowner policies may not provide adequate protection for rental activities or shared spaces.
If you live in one unit and rent out the other, you’ll need a standard home insurance policy (HO-3 or HO-5) for your residence. For the rental unit, you may need a landlord or “dwelling fire” policy (DP-3) to cover the tenant-occupied side. This ensures both units are protected against property damage, liability, and loss of rental income.
If you rent out both units, you’ll typically need a landlord insurance policy for the entire property. This covers:
Property damage (from fire, storms, vandalism, etc.)
Liability protection (if a tenant or guest is injured)
Loss of rental income (if the property becomes uninhabitable due to a covered loss)
If you use one or both units for short-term rentals (like Airbnb or VRBO), you may need specialized coverage. Many standard home insurance and landlord policies exclude short-term rental activity, so talk to your agent about the right endorsements or policies.
Property Coverage: Protects the structure and any personal property you provide (appliances, furnishings, etc.).
Liability Protection: Covers legal costs if someone is injured on your property.
Loss of Rental Income: Reimburses you for lost rent if a covered event makes the unit uninhabitable.
Ordinance or Law Coverage: Helps pay for upgrades required by new building codes after a covered loss.
Flood and Earthquake Insurance: Standard policies don’t cover these risks, so consider separate policies if your area is prone to these hazards.
Disclose All Occupancy Details: Be upfront with your agent about how the property is used.
Screen Tenants Carefully: Good tenants reduce the risk of claims and property damage.
Maintain the Property: Regular upkeep can prevent costly repairs and insurance claims.
Review Your Policy Annually: As your situation changes, so do your home insurance needs.
At CF&P Insurance, we’re a third-generation, family-owned agency with deep roots in California. We work with top insurance carriers to find the best coverage for your unique situation—whether you’re a first-time duplex owner or a seasoned investor. Our expertise ensures you get the protection you need at a price you can afford.
Ready to secure your duplex? Contact us today for a free home insurance quote and expert advice. You can also give us a call at (925) 956-7700.
Not necessarily. If you own both units, you can often insure the entire building under one policy. However, if you live in one unit and rent out the other, you may need a combination of homeowner and landlord policies.
Standard home insurance and landlord policies may not cover short-term rentals. You’ll likely need specialized coverage or endorsements—talk to your agent to ensure you’re protected.
No. Your policy covers the building and any personal property you provide, but tenants need their own renters insurance to protect their belongings.
Yes, liability coverage is typically included, but the amount and scope can vary. Make sure your policy limits are adequate, especially if you have tenants or frequent guests.
CF&P Insurance is here to help you protect your investment and your mental peace. Let us help you find the right home insurance for your duplex, so you can focus on what matters most.
