Landlord policies protect your rental properties much the same way as your home insurance but there are generally three levels of protection: DP-1, DP-2, and DP-3. DP stands for "dwelling policy". In short, the numeric portion is most associated with the types of losses the policy will cover. DP-1 covers very specific listed losses, like fire, while DP-3 is most similar to home coverage, handling "open perils". DP-3 is the most popular landlord policy.