Located in Alabama.

A few years ago I purchased two duplexes and began living in one of the units. These were combined onto one mortgage. Since I was living there, the bank required homeowners insurance. I also purchased renters insurance to cover the rented units. The unit I was in was also homesteaded as my primary residence.

We have now moved into another duplex and no longer live in the original two. They are fully rented and no longer homesteaded. This has been transferred to the new duplex we live in, which is in another area of Alabama ~20mi away and on a separate mortgage.

Question:

Is the homeowners policy still required on the first two duplexes? Would only renters insurance be sufficient? Is there another type of policy that would better cover the property as a whole?

Are there any risks with only having rental insurance? Would this still cover collateral type damage (natural causes/accidents)?

Notes:

The bank has offered to sign a document for the first duplexes/mortgage. This would remove the homeowners policy requirement, reducing the escrow.

State Farm covers the insurance.

I will still talk to state farm. I would like the perspectives here before making any changes.

I'll respond to questions and edit the post if needed, thank you.