The Tenant Insurance Verification Checklist

Tenant insurance protects the tenant's belongings, the tenant's liability, and — indirectly but importantly — the unit owner. Most landlord losses where the tenant caused damage become tractable when tenant insurance is in place. Verifying it correctly is a small process that pays back many times over.

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Why tenant insurance protects you

When your tenant or their guest causes damage to your unit (or to other units originating from yours), tenant liability insurance steps in to cover the damage. Without it, your only recourse is to pursue the tenant personally — which often means the cost is borne by you and your insurer.

Tenant liability also protects you from claims where guests are injured in your unit — the kind of claim that, in your absence as resident, you have no direct knowledge of and no ability to defend.

What to verify

Before move-in, every tenant should provide a Certificate of Insurance showing:

• Personal liability coverage of at least $1M (we recommend $2M)
• Contents coverage for the tenant’s belongings (their interest, but the existence of coverage matters)
• Additional living expenses if the unit becomes uninhabitable
• Policy effective dates covering the tenancy period
• Reputable Canadian insurer as the underwriter

Red flags

Watch for:

• Policy from an unknown or non-Canadian insurer
• Liability coverage below $1M
• Effective dates that don’t cover the move-in date
• Policy document that doesn’t name the unit address
• Tenant resisting providing the certificate after agreeing in the lease

Annual renewal verification

Tenant insurance is annual. Set a calendar reminder 30–60 days before policy expiry to request updated proof. CentreKey handles this automatically; self-managers should track manually.

When updated proof isn't provided, follow up in writing. A tenant who lets their insurance lapse is a real risk — to them, to you, and to the corporation.

What to do if the tenant doesn’t comply

If your lease requires tenant insurance and the tenant doesn't provide proof, you have a contractual breach. Options:

• Send a written N5-equivalent notice to comply
• Treat as a substantial interference with reasonable enjoyment if it persists
• Document the breach for any future LTB matter
• In most cases, polite written follow-up resolves it — most tenants do have insurance, they just haven’t proven it

The CentreKey workflow

Every CentreKey tenant provides a Certificate of Insurance before move-in. We verify the carrier, coverage limits, and effective dates. We request renewal proof annually with a 60-day lead. Status appears in the owner portal.

It's the kind of small operational discipline that produces meaningful loss reduction over a portfolio.

Key Takeaways

- Tenant liability insurance protects you when the tenant causes damage
- Verify Certificate of Insurance before move-in — don’t accept verbal confirmation
- Minimum $1M liability — recommended $2M
- Set a 60-day reminder before annual renewal to request updated proof
- Lapsed tenant insurance creates exposure for you, the tenant, and the corporation