Landlord insurance is a specially designed assurance for rental properties. It is useful for cover for any kind of damage to the rental property. Be it the building or the contents, your belongings are secure if you take out a landlord insurance policy. For this, an ordinary home insurance will not be enough.
You need a cover against accidental, natural and man-made damage to the property. It will also cover the damage done by the tenants. Thus, it is important to have a landlord insurance cover so that you can be relaxed that in the event of any kind of accidents, the losses will be paid out by the insurance provider.
Types of landlord insurance:
Building insurance: This type of assurance keeps the building insured against any kind of natural and man-made damage such as fire, floods, earthquake and accidents. Once insured, such losses will be paid out by the insurer. Charges required to repair or rebuild the building will also be paid out. This policy is a must if you plan to give your building on rent or have some ‘buy to let’ property.
Contents insurance: This kind of insurance is totally beneficial if you are letting a furnished property for rent. It will cover the contents of the landlord but will not include any belongings of the tenant. Fixtures and furniture such as sofa, carpets, electrical items and everything belonging to the landlord would be covered by this insurance.
Liability insurance: This kind of cover is for the tenant or visitor who gets injured and you are held responsible for it. It is advisable to take this cover to rule out accidental injuries which can be thrown upon your negligence.
Landlord insurance add-ons:
If your landlord insurance has additional features beyond the basic cover, then it becomes fool proof and highly advantageous for people who are in the business of renting property. Following are the must have add-ons in a landlord insurance cover:
Rent guarantee insurance: If your tenant does not give you rent or if the property is empty between two tenancies then this add-on helps you get paid out for the loss. This helps a lot if you have a difficult tenant or can’t find a new one for a long period of time. So, make sure your policy includes this feature.
Legal expenses cover: If you are in a legal dispute with the tenant then the money spent in settling or resolving the issue would be covered under legal expenses cover.
Home emergency cover: This kind of cover includes the repair cost of damages occurred to energy appliances, including those for gas, electricity, room heating or boiling water. This cover helps in fixing energy related problems on a quicker basis.
Emergency assistance cover: It is an add-on that works best if the landlord stays away from the rental property. It will make a pay-out on behalf of the landlord for any kind of emergency repair and renovations.
Insurance against accidental damage: If your property gets accidentally damaged by your tenant then you can claim a pay-out if you have this add-on in your insurance cover.
If you are planning to go for landlord insurance cover, just compare various providers and then zero down on the cheapest cover. FreePriceCompare.com would assist you in finding the best landlord insurance cover for your ‘to let’ the property. For details, contact us on 02034757476.