At Cover4LetProperty, we’ve stressed in previous blogs that it is impossible to state in isolation, just what landlord insurance will or will not cover.
Different policies have different components of cover and almost inevitably, varying terms and conditions governing them.
So, while we can speak with expert knowledge about the policies we provide, we may not be able to say exactly what your existing policy might offer if it is with another provider. Please keep this in mind as you read our general overview below.
This offers financial protection against the consequences of your property being damaged or destroyed by one of a number of specified perils. They might typically include things such as fire, flood and related disasters.
It is worth noting that we offer cover against subsidence but this is not necessarily standard in all landlord insurance policies.
Typically, the issues here relating to basing the sum insured on the full rebuild cost of the property concerned, are broadly similar to those that would apply to an owner-occupier.
For the sake of clarity, it is important to state clearly that such cover is typically aimed at protecting your contents and not those of your tenants. It may be advisable to stress to tenants that it might be sensible for them to take out their own form of tenants’ contents insurance.
Contents cover again should be broadly familiar, offering a degree of financial insulation from the worst effects of having your contents destroyed by an insured peril or lost through burglary etc.
You may find that there is a maximum insured value specified within the policy which covers the total of all of your contents. There may be some limits as well in terms of the maximum available cover for an individual item.
Third party liability
This is, of course, particularly important for landlords given that tenants and their guests will be on your property regularly. It offers you financial support, in qualifying circumstances, should someone sue you for loss, damage or injuries they have sustained as a result of your property.
Any tenant cover
This is mentioned here even though it is less of an element of cover and more related instead to the terms and conditions of the policy.
That’s because some landlord insurance policies may exclude certain categories of tenant from the cover they provide. For example, some policies may not apply if you are letting to students, asylum seekers or the recipients of housing benefit.
Our policies provide cover irrespective of your target marketplace.
Loss of rental income
Some landlord insurance policies may typically cover loss of income in situations where the cause is an insured peril.
Typically, this does not include circumstances such as where:
- your tenants have fled leaving rent arrears (though we do offer standalone rent guarantee insurance)
- you are in a legal dispute with them over the same thing, or
- you have voluntarily stopped letting for purposes such as redecoration etc.
Most landlord insurance policies will provide financial support in this area providing your legal costs are rising from an insured risk.
As an example, if you are defending yourself in a public liability case then those costs typically will be covered up to a pre-set amount.
However, your legal costs involved in disputes between yourself and your tenants or taking action for the recovery of overdue rent would typically not be included. For this you will need landlords legal protection insurance.
The full cover provided by our policy is extensive and cannot really be adequately outlined in a simple blog of this nature. Why not contact us to find out more?