Comparing landlords insurance companies

Posted: 2nd Jun 2014

If you are thinking about comparing landlords insurance companies, you may be wondering what sort of things you should be looking at.

Here are a few ideas:

  • Subsidence. This is an important risk to the structure of many buildings but cover is no longer guaranteed to be a standard component of buildings and contents insurance as it once perhaps was. Some policies – such as ours – cover it and others may not – checking may be advisable;
  • Contents Cover. Some policies may provide you with new for old replacement whereas others might only offer replacement based on an estimation of current market value;
  • Loss of Rental Income. You may find some policies will offer cover for a loss of rental income when this arises from an insured event. That typically will not include things such as tenants that abscond leading large rent arrears;
  • Malicious Tenants. If you’re unfortunate enough to have tenants that intentionally damage your property, some policies may cover this (again, this is available with our policies);
  • Third Party Liability. This cover may prove extremely important to you should you be sued for damages by one of your tenants or a member of the public. Bearing in mind that court awards against you may be very high, checking carefully the maximum amount of cover provided by your policy may be important;
  • Legal Fees. Win or lose in a case of third party action, you may find yourself facing very significant legal bills and expenses. Not all landlords insurance companies will cover that sort of cost, though some will, providing it arises from an insured risk;
  • Flooding Risk. Due to the increased concerns relating to flooding, some insurers may include special provisions and limitations in their policies if your property happens to be located in an area known for flooding. Other insurance providers may not have such conditions or their conditions may be more agreeable to you.

The sums of money you have invested in your property are unlikely to be trivial.

It therefore makes sense to closely compare landlords insurance companies – and we can help with this if you need assistance – to ensure you find a solution that is suitable for your particular requirements and individual circumstances.