Tag Archives: Landlords insurance

Top tips covering landlords insurance

If you are in the process of starting to let out property for the first time, you may find the following tips to be useful when you are considering landlords insurance:

  • remember the principles – typically, if you are using property for the purposes of generating rental income then you are a landlord and will typically require let property insurance rather than owner-occupier cover;
  • do not be misled by rumour and myth – in the event that you had to make a claim, contrary to what some may believe, insurance providers may have sophisticated means of checking the exact occupancy situation of the property concerned. If they find that you have owner-occupier cover for property that has tenants in it (even if they only occupy a part of your property) then you may find your claim is refused;
  • think carefully about your requirements – for example, if you are letting out your property on an unfurnished basis then there may be no obvious reason why you should be paying for buildings and contents insurance when perhaps a buildings only policy may be perfectly adequate;
  • shop around for your landlords insurance – different providers of this type of insurance may have very different elements of cover in their policies and their pricing structures may also be significantly different, with some perhaps being more suitable for you than others;
  • think about tenants/1 – some policies may offer cover against malicious damage caused by your tenants though this is by no means universal in all such policies;
  • think about tenants/2 – remember that if you are successfully sued for damages arising from injuries to one of your tenants, then a court may award very significant sums against you, so having a healthy provision for third party liability cover in your policy may be highly advisable;
  • think about tenants/3 – some policies may offer cover for a loss of rental income if your tenants are forced to move out due to a problem arising which is an insured risk on your policy;
  • do not forget subsidence – the costs associated with serious subsidence problems may be potentially ruinous if you need to pay them out of your own pocket, which is why those policies that provide subsidence cover may prove to be very attractive. Although once commonplace in property policies, it is no longer necessarily always included as standard on all policies providing landlords insurance or owner-occupier home buildings and contents cover.

Reasons for looking for let property insurance quotes

If you are a landlord then you may be considering looking for let property insurance quotes.

Although home buildings and contents insurance is widely available for owner occupiers or people renting a property, this is typically unsuitable for landlords who require extra (and different) cover to protect their investment.

If you are in any doubt as to whether to begin to search for let property insurance quotes, it may be a good idea to look at some of the main reasons for taking out specialist cover for landlords.

Protect your investment from damage

Wherever your property is located, there is always the chance that it may become damaged by things such as fires, floods and bad weather.

Even if you are a very careful landlord and look after your property well, some things may remain out of your control.

By looking for landlord insurance you may be able to find a policy which provides you with financial protection if the worst comes to the worst and your property is damaged by the elements.

Protect your rental income

If your property does become damaged due to reasons beyond your control, you may end up losing rent because you are unable to let out the property to a tenant.

However, if the property is your main source of income then the results of this may be very difficult to deal with.

You may find, therefore, that suitable buy to let landlord insurance provides you with protection for your lost rent in such circumstances which may help to ease the financial strain. This is often known as landlords rental income cover.

Enjoy greater peace of mind

A property is typically a very large investment, and it may therefore be a sensible idea for you to do everything you are able to in order to protect it.

Buy to let insurance may be able to provide you with cover for a range of situations in which your property may be at risk, allowing you to enjoy more peace of mind knowing that your investment is safe.

Other possibilities

There are some events which may not be covered by a standard landlords insurance policy, but which may be covered on a separate policy.

One of these is unoccupied property insurance, which may be able to provide you with cover if you have to leave your property unoccupied between rents or because you need to carry out repair works.

It may be another way to protect your investment, but remember that this is typically something which is insured separately.

Protect your property

If you are a landlord then it may be a good idea to ensure that you have appropriate cover in place for your property. By looking for suitable let property insurance quotes you may be able to find a policy which is appropriate for your needs to give you greater peace of mind.

An outline of a typical unoccupied property insurance quote

Here is a quick summary of some of the major points relating to an unoccupied property insurance quote:

  • why you may need it – the risk profile of your property may typically be seen to be significantly different between the states of being occupied and unoccupied with the latter exposing it to additional risks of cumulative unnoticed damage, burglary and vandalism etc;
  • when you may need it – there may be some differences between insurers but typically traditional home buildings and insurance or landlords insurance policies will cover an unoccupied property for a maximum of 30 consecutive days, after which standard landlords insurance may become invalid and continuity of cover may be maintained by starting with an unoccupied property insurance quote;
  • what it entails – a policy may typically offer you cover for your buildings and contents in a situation where your property is unoccupied but some policies may have different conditions that apply once the period passes a further threshold (perhaps 3 6, 9 or 12 months);
  • your obligations – it is always a good idea to carefully read the terms and conditions of any insurance document and in the case of unoccupied property cover, you may wish to note that you may be obliged to periodically visit the property to perform inspections, rectify immediately any internal defects that may lead to damage and to keep external garden areas in appropriate lived-in appearance (you may also find an obligation to ensure that you keep a journal of the days you visited the property and any work undertaken);
  • its necessity – keep in mind that if you make a claim under a standard landlords insurance policy and the insurer subsequently discovers that the property was unoccupied at the time the incident took place, you may find your claim will be refused and you may also become involved in fraudulent claim proceedings;
  • its ease – you may find it is very straightforward to pick up an unoccupied property insurance quote and that it is time well spent.

Landlords property insurance

Being a landlord is no easy task. You have to worry about a lot of things which includes making sure that the place you are renting is a safe place to live in for your tenants. In order to make that happen you should insure your property with a proper landlords property insurance. Knowing that renting a place will come with some specific risks you need to consider getting this type of specialized insurance policy, as a simple policy won’t provide all the necessary coverage.

In order to find the best landlords property insurance you should first think about all the things that you would want coverage for in case any accidents were to happen. First of all, keep in mind that you will be renting your property to some people you don’t know anything about, so you should choose a policy that provides coverage in case of malicious damages that might be caused by the tenants or their guests. When it comes to landlords property insurance the best thing to do would be to choose a policy that provides coverage for the things in the building that you own and also for repairs and fixtures that might be required in your building. This way your tenants will be happy and you will have peace of mind knowing that you are covered in case of such events.

Besides the usual risks that landlords property insurance covers for, like fires, explosions, theft, you can also add specific things that you would want the policy to cover for. Considering the fact that you never know when your tenants might leave without paying up their rent, you might want to choose a policy that provides compensation for such cases. Also if you want to be extra careful choose a policy that provides coverage in case your building will become uninhabitable or you can also opt for a policy that provides alternative accommodation for your tenants. No matter what your needs as a landlord are, landlords property insurance is specifically designed to cover for all your needs.

In case you are wondering how to obtain lower quotes for landlords property insurance, you should know that if the building is located in a smaller city or if you have no recent property claims and if the tenants have been living in your building for a long time and are responsible, there are high chances that you will get lower premiums on your insurance policy.

Angella Brown is an expert author on various interesting topics. To know more about the various policies why not compare Landlords property insurance yourself, from a range of top providers. For more in-depth analysis of insurance feel free to visit us at Landlord Buddy Insurance .