By Jon Merwin, Founder and CEO
Owning rental property in Maine means planning around cold that can run well below zero, oil burners that have to keep running all winter, a coastline that set a new high-water mark in January 2024, and a landlord-tenant code with its own deadlines for deposits, heat, radon and lead. A good landlord policy is written with all of that in view.
Portsmouth Atlantic Insurance is an independent, family-owned agency based in Portsmouth, New Hampshire, just over the Piscataqua River bridge from Kittery. We are licensed in Maine and place rental property with 40+ carriers, working with owners across the state by phone and email: a Portland triple-decker, a Lewiston two-family, a mobile home on a rented lot, a Bangor duplex, or a lakeside camp booked by the week. Call (603) 431-4020.
Key takeaways
- Roughly one in four occupied Maine homes is rented; in Portland, renters slightly outnumber owners.
- Buildings with two to four units house about a third of Maine renters, and more than four in ten rental homes burn fuel oil or kerosene for heat.
- Deposits are capped at two months’ rent and must be returned within the period the lease sets (30 days at most), or 21 days for a tenancy at will.
- If you supply heat, the system must be able to hold 68 degrees, and since 2025 mold from leaks is a habitability issue.
- Radon testing, lead-paint notice before work on pre-1978 buildings, and smoke and CO detectors are all written into Maine law.
- Flood, mold, empty units and weekly guests deserve the closest look when you compare Maine landlord quotes.
A snapshot of Maine rental housing
The Census Bureau counts about 153,600 renter-occupied homes in Maine, out of roughly 597,200 occupied homes (ACS 2024, B25003). Portland is the exception to the statewide pattern: 17,520 of its 32,965 occupied homes are rented, a bit more than half (ACS 2024, Portland).
Small multifamily buildings dominate. Two-family houses and three- or four-unit buildings, the classic triple-deckers and side-by-sides of Portland, Lewiston, Biddeford, Bangor and Waterville, hold about one in three Maine renters. Rented single-family houses make up about a quarter. Mid-size buildings with five to 49 apartments account for close to three in ten, and complexes with 50 or more apartments house only about one renter in 18. Another one in 15 or so renter homes is a mobile home (ACS 2024, B25032).
| Maine rental homes | Approximate share | Why an underwriter cares |
|---|---|---|
| Built 1939 or earlier | Nearly 3 in 10 statewide; nearly half in Portland | Knob-and-tube or updated wiring, old plumbing, stone foundations, replacement cost |
| Built before 1980 | More than 6 in 10 | Lead notice rules for pre-1978 buildings |
| Heated with fuel oil or kerosene | More than 4 in 10, the largest group | Tank age and location, burner service, cold-weather pipe bursts |
| Heated with electricity | About 1 in 5 | Heat pumps and backup heat during deep cold |
| In two- to four-unit buildings | About 1 in 3 | Dwelling policy, or homeowners when you live in one unit |
| Mobile homes | About 1 in 15 | Specialty forms for manufactured homes |
Sources: ACS 2024, B25036 (year built), Portland, B25117 (house heating fuel). In Portland, utility gas heats about four in ten rented homes and oil about one in five (Portland heating fuel). The market is tight: only about 6,800 Maine homes were vacant and for rent, against more than 115,000 held for seasonal, recreational or occasional use, which is about three in four vacant homes and more than one in seven homes of any kind (ACS 2024, B25004).
Picking the right form for a Maine rental
Living in one side of a two-family. When you live on site, a homeowners policy can often insure the whole building, provided the rented unit is disclosed and liability is extended to cover it.
A house or a two- to four-unit building you do not live in. This calls for a dwelling policy. A named-perils form pays only for the causes it lists; an open-perils form covers the building against anything not specifically excluded and often pays replacement cost for the structure. Add landlord liability and fair rental value to either one. Our article on dwelling fire insurance versus homeowners compares the two, and our specialty dwelling page covers vacant, older and hard-to-place buildings.
Five units and up. Apartment buildings of this size usually move to a commercial habitational package for the property, liability and business income.
A rented condo. The association’s master policy insures what the declaration gives it. Your unit policy should say the unit is rented and include improvements, liability and fair rental value. If the condo is in a converted house, our Maine condex guide explains how coverage splits in two- to four-unit associations.
A camp, cottage or second home rented part of the year. These are the Maine rentals most often written on the wrong form. Read the seasonal and short-term section below, and see our Maine homeowners and second-home page and our guide to secondary and seasonal homes.
Maine landlord-tenant law and the insurance angle
The core rules sit in Title 14 of the Maine Revised Statutes, chapters 709 through 710-A. Insurance responds to sudden physical loss and to liability claims. It does not pay for routine upkeep, and it cannot fix a deposit or notice deadline that was missed.
| Maine rule | In short | Where insurance comes in |
|---|---|---|
| §6032 deposit cap | No more than two months’ rent. | A deposit seldom covers serious damage; the policy may, depending on the cause. |
| §6033 deposit return | Within the lease period (30 days at most) or 21 days for a tenancy at will, with an itemized statement. | Photos at move-in and move-out help with both deposits and claims. |
| §6025 entry | Reasonable notice at reasonable times; 24 hours is presumed reasonable, except in an emergency. | Routine walk-throughs spot slow leaks and bad stair treads early. |
| §6021 habitability | Fit for human habitation; heating and mold standards spelled out. | Sudden water damage may be covered; a system that simply wore out is not. Fair rental value can bridge the repair period. |
| §6026 minor repairs | A tenant may fix a dangerous condition after 14 days’ written notice and deduct a capped amount from rent. | Respond to written repair requests quickly. |
| §6002 ending a tenancy | 30 days’ written notice for a tenancy at will; 7 days for rent 7 or more days late or substantial damage. | Unpaid rent is an operating risk; property policies do not reimburse it. |
Two more deposit rules catch new landlords. If you keep money without cause, the tenant can recover double the amount wrongly withheld plus legal costs after giving you seven days’ notice (§6034), and deposits have to sit in a separate account beyond the reach of your creditors (§6038). Belongings left behind must be stored somewhere safe and dry, with a mailed, itemized notice giving the former tenant seven days to respond before you dispose of them (§6013). For lease or eviction questions, ask a Maine attorney; this page is not legal advice.
Heat, oil and the 68-degree rule
When the lease makes you responsible for heat, Maine law spells out what counts. Heating equipment has to be capable of keeping the unit at 68 degrees Fahrenheit, measured three feet from the outside walls and five feet off the floor, on a day when it is 20 below outside, and it has to be run so pipes and building systems are protected from the cold (§6021(6)). A lower setting is allowed only by a separate, signed written agreement with the tenant.
That standard lines up with what insurers worry about. With more than four in ten rental homes on oil (ACS 2024, B25117), a missed delivery, a clogged nozzle or a boiler that quits on a January weekend can turn into water pouring through two or three floors.
- Ask each carrier what happens if pipes burst in an unoccupied apartment. Plenty of forms cut back that coverage unless the heat stayed on or the plumbing was shut off and drained.
- Most dwelling forms restrict certain coverage once a building has sat empty for a set number of days, so call us before a long vacancy or a gut renovation.
- Low-temperature alerts, automatic water shutoffs and an automatic oil delivery contract make a building easier to place.
- Keep snow off flat and low-pitched roofs and watch for ice dams on older buildings; our article on snow and ice damage explains how those claims are usually handled.
- Paying someone to clear the lot? Ask for their certificate of insurance. A personal auto policy does not cover plowing or hauling for hire; that work needs commercial auto.
Expecting a long gap between tenants? Our guide to insuring an empty house and the article on vacant property and standard policies walk through the choices.
Mold and leaks: a 2025 change to Maine’s habitability law
In 2025 the Legislature defined a “leaking event” as water from flooding or from the failure of a roof, window, door, plumbing system, foundation or appliance, and made it a breach of the warranty of habitability to rent out a unit where a leaking event, or chronic moisture or humidity the tenant cannot control, has led to mold, bacteria or other biological growth (14 M.R.S. §6021, as amended by P.L. 2025, c. 515). Towns may adopt stricter standards.
The insurance side is narrower than many owners expect. A sudden pipe break is commonly covered; seepage that went on for weeks, a roof that leaked for a season, or groundwater through a stone foundation usually is not, and mold coverage is frequently capped or excluded. Fix leaks fast, document the repair, and ask us to show you how each quote treats water and mold.
Lead paint, radon and alarms
Maine CDC notes that a building from before 1950 very likely contains lead paint, and anything built before 1978 may. Before renting a pre-1978 unit, federal law requires the lead disclosure booklet and any test reports (Maine CDC, home and property owners). Maine adds a notice rule for work in those buildings: at least 30 days before repair, renovation or remodeling that may disturb lead paint, post a sign on the exterior entry doors and send notice by certified mail to every unit, unless each unit signs a written waiver; emergency repairs are exempt (14 M.R.S. §6030-B). Larger paint jobs also fall under the EPA renovation rule.
If the state orders lead hazards corrected while a family with children lives in the unit, the owner has to move the tenants to a lead-safe substitute unit and pay reasonable moving costs and any difference in rent, unless the department waives it (22 M.R.S. §1322). Those costs are generally not insured, and many rental policies exclude or limit lead claims, which is why underwriters ask about paint condition on older buildings.
Maine also requires radon testing, a rule many states do not have. Residential rental buildings must be tested by a state-registered tester, retested every 10 years when a tenant asks unless a mitigation system is installed, and tenants must get written results on the state form before signing a lease or paying a deposit. Buildings rented only on short-term leases of 100 days or less are exempt, and failing to give notice is itself a breach of habitability (14 M.R.S. §6030-D; Maine Attorney General, lead and radon).
Each unit in a multifamily building also needs smoke detectors, with photoelectric models required for new or replacement units near kitchens and bathrooms (25 M.R.S. §2464), and a carbon monoxide detector in each area within or giving access to the bedrooms (25 M.R.S. §2468). Working alarms protect tenants first, and they also help when a fire or CO claim is investigated.
Flood risk on the Maine coast and inland rivers
On January 13, 2024, the Portland tide gauge hit 14.57 feet, breaking the 1978 record in a series that began in 1912 (National Weather Service, Gray). Yet Maine is, in the state’s own words, underinsured: a little over 8,000 flood policies are in force statewide, about a quarter of flood claims come from lower-risk areas, and a new NFIP policy normally carries a 30-day wait (Maine Floodplain Management Program).
For landlords the federal dwelling form has a specific gap: it can cover the building and, if purchased, the owner’s contents, but it pays nothing for rent lost while units are dried out and rebuilt (FEMA dwelling policy form). Some private flood forms include rental income, worth comparing for a building on the waterfront or along the Kennebec, Androscoggin or Penobscot.
Through us, new NFIP policies are written with Selective, and private flood options include Neptune Flood, Aon Edge, Beyond Floods, CatCoverage, Flow Flood and The Flood Insurance Agency. Check each address on the FEMA Flood Map Service Center, require renters insurance in the lease so tenants’ belongings are their own responsibility, and see our Maine flood insurance page for more on the coast.
Seasonal cottages, camps and short-term guests
From York and Ogunquit to Bar Harbor and the Rangeley lakes, a lot of Maine housing earns its keep by the week. Portland shows how local rules can tighten: every unit listed for 29 days or less must be registered as a short-term rental each year, with the license number in every ad. For 2026 the city caps mainland non-owner-occupied short-term rentals at 293 units, set from the 19,516 long-term rental units registered on September 1, 2025; it also limits how many units in a building may be rented short term and requires a condo association’s written OK (City of Portland, short-term rental registration). Other towns have their own registration or permit rules, so check before taking bookings.
Coverage tracks how the place is used, not who holds the deed. Many second-home forms accept the odd rental week but balk at a full summer calendar of guests. Depending on the carrier, the answer could be an add-on for home sharing, a dwelling policy designed for vacation rentals, or a specialty program. For short-term rentals in Maine, one specialty option we can write is Proper. Tell us how many nights you rent, where bookings come from and whether a manager handles turnovers. Owners near the New Hampshire line can also read our York, Kittery and Ogunquit and Wells pages.
Liability limits, LLCs and an umbrella
Most landlord claims start with something small: an icy back step, a wobbly porch rail, a dim cellar stair to the laundry. Set liability limits that fit the number of units and the age of the building, and think about a personal umbrella policy over the rentals, your own home and your vehicles, with each underlying policy carrying the limits the umbrella requires.
If an LLC holds title, the LLC should be the named insured, and the umbrella should be checked to confirm it extends to that entity. A lease clause requiring renters insurance helps too: it covers the tenant’s own things and their liability if they start a fire.
Coverage pieces on a Maine landlord policy
| Coverage | What it pays for | Maine angle |
|---|---|---|
| Dwelling (the building) | Fixing or rebuilding the structure after covered damage, for example fire, windstorm, the weight of ice or a burst pipe | Older buildings: confirm replacement cost and building-code upgrade (ordinance or law) coverage |
| Landlord’s personal property | Appliances, furnishings in furnished units, shared washers and dryers, tools | Furnished cottages and camps |
| Fair rental value (loss of rents) | Rent you lose while a unit cannot be lived in after a covered loss | Winter repairs and contractor waits run long; base the limit on today’s rents |
| Landlord liability | Injury and property damage claims from tenants and guests | Ice, stairs, porches, wood and pellet stoves |
| Flood (a separate policy) | The building and owner contents after flooding | Coastal and river locations; NFIP or private |
How we work with Maine rental owners
We begin with the property: age, wiring and plumbing updates, roof, heating fuel, number of units and how it is rented. Then we shop it across our 40+ carriers and lay out how the options treat empty units, burst pipes, mold, lead, weekly guests and lost rent. We don’t charge any fees. The right carrier depends on the building and how it is used, and we do the comparing. For Maine rentals we can write with Andover, Chubb, Cincinnati, Concord Group, Foremost Signature, Hanover, Liberty Mutual, National General, Openly, Patriot, Providence Mutual, Safety, Stillwater and Vermont Mutual. After a loss, we help you report the claim and stay on it with the carrier until it is resolved.
For owners with buildings in more than one state, our landlord insurance overview is a good starting point, along with landlord versus homeowners insurance and our full landlord insurance guide. Maine owners with a boat at the camp can see our Maine boat insurance page. Learn more about the agency and about founder Jon Merwin.
Request a Maine landlord quote
Plenty of landlords are among the people who have given us 1,000+ Google reviews and over 2,000 testimonials. Request a quote. There’s no obligation to buy. Send us the details on your Maine building and how you rent it, and we will take it to whichever of our 40+ carriers fit, and we don’t charge any fees for that work. Use the form below or our quotes page, email insure@portsmouthatlanticins.com, or call (603) 431-4020. Someone picks up Monday through Thursday from 9 AM to 5 PM and on Fridays from 8 AM to 4 PM, Eastern time.
Frequently asked questions
Does Maine require landlords to carry insurance?
No Maine statute makes a rental owner buy property or liability coverage. In practice the mortgage decides it: a lender on a rental will insist the building is insured, and will add a flood requirement when the property lies inside a FEMA special flood hazard area (SFHA). If the building is paid off, going without liability coverage puts your personal assets on the line the first time a tenant or delivery driver is hurt on an icy step.
My Maine house was my home and now it is a rental. Does my homeowners policy still work?
Not without a change. Homeowners forms are written on the assumption that you live in the house. Once a tenant moves in, tell the carrier; the usual fix is a dwelling policy written for a rented building, with landlord liability and fair rental value (loss of rents) included.
What is the deadline for giving back a tenant’s deposit in Maine?
Under a written lease, within the time the lease states, which cannot be longer than 30 days; under a tenancy at will, within 21 days after the tenancy ends or the unit is surrendered, whichever is later. Any deduction needs an itemized written statement, and missing the deadline forfeits the right to keep any of it (14 M.R.S. §6033). The deposit itself is capped at two months’ rent (§6032).
Will a landlord policy pay for mold after a leak?
It depends on how the water got in. Maine now treats renting out a unit with mold growth caused by a leaking event or chronic moisture outside the tenant’s control as a breach of habitability (§6021(6-B)). Policies tend to respond to sudden, accidental water damage, while long-term seepage is commonly excluded and mold is often capped or left out, so read that section of any quote and fix leaks quickly.
Is flood damage covered on a Maine rental?
Not by the dwelling or homeowners policy; flood is written separately. We place new National Flood Insurance Program policies through Selective and can compare private flood carriers such as Neptune Flood, Beyond Floods, Flow Flood, CatCoverage and Aon Edge. NFIP coverage usually starts after a 30-day wait (Maine Floodplain Management Program), and the federal dwelling form does not pay for lost rent, so plan ahead of storm season.
I rent my cottage to summer guests by the week. Do I need something different?
Usually, yes. Weekly guests are short-term rental use, which many second-home and long-term landlord forms exclude or restrict. You may need an add-on for vacation renting or a policy designed around it. Portland requires every rental listed for 29 days or less to be registered as a short-term rental (City of Portland), and other towns keep their own rules.
What information do you need to quote a Maine rental?
The address, year built, number of units, roof age, heating system and fuel, whether you live on site, lease terms (yearly, at will or weekly), current rents, any wood or pellet stoves, prior claims and your current declarations page. For a pre-1978 building, tell us about recent paint work, and have the latest radon test date handy. Request a quote. There’s no obligation to buy. You can reach us at (603) 431-4020 to go over it.
Sources
- 14 M.R.S. §6002, tenancy at will; notice of termination
- 14 M.R.S. §6013, property unclaimed by tenant
- 14 M.R.S. §6021, implied warranty of habitability (heat; mold, P.L. 2025, c. 515)
- 14 M.R.S. §6025, access to premises
- 14 M.R.S. §6026, dangerous conditions requiring minor repairs
- 14 M.R.S. §6030-B, environmental lead hazards; notice of repairs
- 14 M.R.S. §6030-D, radon testing
- 14 M.R.S. §6032, maximum security deposit
- 14 M.R.S. §6033, return of the security deposit
- 14 M.R.S. §6034, wrongful retention
- 14 M.R.S. §6038, treatment of security deposits
- 22 M.R.S. §1322, child occupants; substitute dwelling units
- 25 M.R.S. §2464, smoke detectors
- 25 M.R.S. §2468, carbon monoxide detectors
- Maine Center for Disease Control and Prevention, lead: home and property owners
- Maine Attorney General, lead and radon
- City of Portland, short-term rental registration (2026 rules)
- State of Maine Floodplain Management Program (Community Affairs), flood insurance
- National Weather Service Gray, record water level at the Portland tide gauge (Jan. 13, 2024)
- FEMA Flood Map Service Center
- Standard Flood Insurance Policy, dwelling form (FEMA, 2021)
- American Community Survey 2024 five-year estimates for Maine and Portland city: tables B25003, B25032, B25036, B25117 and B25004
Background for Maine rental property owners. Nothing on this page is legal advice, a coverage offer or evidence that a policy exists; policy language and each carrier’s underwriting govern, and Maine statutes and local ordinances change. To discuss a particular building, call (603) 431-4020.