What is the purpose of a General Liability policy?
A general liability policy’s purpose is to provide financial protection based on the third-party liability risks associated with an investment property. After an investor purchases the first SFR (single-family residence) investment home, they will most likely purchase a general liability policy to protect against third-party claims. As the investor grows their portfolio, a desire to reduce premium costs might induce an investor to add additional SFRs to a single general liability policy.
