Interesting info. Guessing it's the same in Australia but here in the USSA tenants (and everyone else) are lawsuit-happy so the best advice I ever received is to make sure each rental property is owned by a separate Limited Liability Company (LLC). Not sure what the equivalent would be in Australia.
The main problem with this is it would probably change the tax deductions you get and also it would be more difficult to get the loan for the rental properties.
Man I just re-read what I wrote above, didn't mean to sound negative. Just pointing out that when dealing with tenants, and contractors etc, who are going to be on your property it's best to cover your rear end as much as possible.
Hi Kirby, you are correct about the necessary insurances to cover all things related to an investment property. I haven't included any of that advice in my post, but the general ones that would be recommended are public liability, building and contents insurance and landlord insurance. All of those are also a taxable deduction. Thanks for raising this.