What Is an Interested Party in Renters Insurance?

Adding your landlord as an interested party on your renters insurance helps keep them in the loop about your policy.

An interested party in renters insurance is someone who is notified of the status or changes in your policy. Adding your landlord as an interested party is a common condition of lease agreements and doesn't affect your renters insurance coverage in any way. Interested parties cannot file claims or make changes to your insurance policy. 

Renters insurance interested party defined

An interested party, also known as "additional interested" or "third-party designee", is an individual, usually your landlord, who is kept up to date on the status of your renters insurance policy.

When you renew, change coverage limits, cancel your policy or make any other updates, your renters insurance provider will notify any interested party of the changes.

Why landlords require interested party status

Landlords usually want to be an interested party on your renters insurance policy simply to make sure your policy is in good standing and provides the coverage required by your rental agreement. When you add them as a third-party designee, it provides your landlord with proof of renters insurance coverage.

Additional interest status provides a convenient means for them to make sure your lease obligations are fulfilled. It's convenient for you as well, as you won't have to send an update to your landlord every time a change is made in your renters insurance policy.

Additional interested vs. additional insured

You may hear the term "additional insured" as well as additional interested. While they sound similar, each refers to very different concepts in your renters insurance. Additional interested refers to people you want to be notified if there are changes made to your renters insurance policy.

Additional insured, on the other hand, is a person or persons officially covered by your renters insurance policy. This may be a family member living with you or a roommate. In short, someone who is an additional insured on your policy is covered by it. An additional interest can only be alerted to changes in your policy.

If a landlord requests you to put them on your policy as an additional insured, chances are they mean for you to put them on as a third-party designee. Most renters insurance companies will not allow you to add your landlord as an additional insured simply because that scenario would be an insurance coverage nightmare.

For example, if both of you are on the same renters insurance policy, neither of you would be capable of filing a renters insurance claim against the other. In the event of a fire in your rental home, whether you or your landlord were responsible, a liability claim would be impossible.

This doesn't mean that you can't add family members on your lease or your roommates to your renters insurance policy, although roommates should get their own renters insurance. Your renters insurance provider will probably only restrict your landlord from being added to your policy.

Is adding an additional interest risky?

Adding an interested party doesn't threaten you or your renters insurance coverage at all. Its purpose is solely informational. Interested parties may know if you have renters insurance and what your coverage specifics are - nothing else.

How to add a landlord as an additional interest

You can add a landlord as an additional interested at any time, but the most likely times you'll do it are when you either move to a new rental home or change your insurance company. While the process of adding someone may differ from insurer to insurer, many renters insurance providers have online options to do it.

The process of adding someone to your renters insurance as an additional interest is fairly simple. You will just need your landlord's contact information, such as their:

  • Name
  • Phone number
  • Current email address
  • Mailing address

The addition of your landlord as a third-party designee should be fairly quick. It is highly unlikely that you will have to get any sort of approval from your renters insurance provider. Additional interest only affects who can see your insured status. It does nothing to affect your coverage or premium.

If you have any problem adding your landlord as an interested party, give your renters insurance company a call. They'll be able to help you.

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