An outline of simple landlords insurance

Posted: 3rd Jun 2014

Landlords insurance doesn’t have to be either complicated or horrendously expensive. In fact, simple landlords insurance is available – and it may provide the protection you need:

  • the basic start point is that if you commence letting out property or even part of a property (including your own home) you may find that you have invalidated your existing home buildings and contents insurance policy;
  • any existing owner-occupier insurance you have, typically may require replacement by an appropriate form of alternative cover – for example: simple landlords insurance;
  • the cover provided by such let property insurance should be relatively familiar – typically encompassing buildings, landlords contents cover (if required) and third party liability protections;
  • it’s worth keeping in mind that typical simple landlords insurance will not cover properties that stand unoccupied – unoccupied in insurance terminology may typically be defined as being thirty consecutive days or more but this may vary depending on the provider;
  • if you think your property may stand unoccupied for that sort of period (e.g. through building work or delays in securing new tenants) then it might be advisable to find out more about something called unoccupied property insurance;
  • to understand the detail of the cover provided by landlords insurance, it is necessary to spend a few minutes studying the policy detail – it might be advisable to avoid becoming too influenced by low prices alone;
  • not all landlords policies offer the same types or levels of protection and you may find that some are more in keeping with your situation than others;
  • for example, if your property suffers a problem that means your tenants must leave (and assuming it is an insured risk) then some – but not all landlord cover policies – may offer a contribution towards your loss of rental income through what’s sometimes called landlord rent insurance;
  • there are other areas where it may be advisable to look closely at what cover is on offer, including things such as malicious damage by tenants and landlords subsidence protection – both things that may not be included as standard in some policies;
  • it is a fact of life that all insurance policies, including landlord insurance, will contain terms and conditions plus some exclusions – it is very important that these are read thoroughly and understood before making a purchasing decision, as they may significantly affect your ability to make a successful claim in certain situations;
  • in summary, simple landlords insurance is available that will typically provide you with considerable peace of mind relating to your buy-to-let or other related rental activities – and selecting appropriate cover need not be something that consumes either a lot of your time or energy.