What You Need To Know About Landlord Insurance?

When you own rental property, ensuring that you have the right insurance to cover the worst situations is vital. Being a landlord can be an expensive business when you do not have the right insurance policy in place, so if you are a landlord and looking for an insurance policy in the market. Here in this article, we are providing all the information that you need to know about a landlord policy. It will help you in choosing the best policy that meets all your requirements.


What Is Landlord Insurance?


Landlord insurance is a specialist cover designed to protect rental properties. Properties are one of the biggest assets that are why it is essential to protect them from the risks, especially when you are renting your property. It provides a cover in the events of fire, flood, storm, theft and vandalism. Different insurance companies offer different types of covers, but generally, a policy provides a cover for the building, contents, loss of rental income and claims made against landlords. However, keep in mind that this insurance policy does not provide any cover for tenants' contents. You must ask your tenants to get a tenant insurance policy to protect their possessions.


Is Landlord Insurance A Legal Requirement?


Although it is not a mandatory requirement by law to have landlord insurance in place, a standard home insurance policy does not provide the right cover when you are renting your home. If you rent it out without proper insurance, it is a huge risk. Moreover, your mortgage lender may require you to have a landlord insurance policy before you let out your property. That is why it is vital to have an insurance policy; otherwise, you are breaking your mortgage terms.  

Why Should You Have Landlord Insurance?


Landlord insurance provides you with peace of mind that you are financially protected if anything worse happens. It also protects your property even when no one is living in it. If you let out your property with a standard home insurance policy, it may refuse to pay any claims, and it also does not protect your rental income. When you purchase specialist insurance as a landlord, it also compensates your rental payment if your tenants fail to pay rent on time.


What Does Landlord Insurance Cover?

Landlord insurance offers different types of covers, including building insurance, content insurance, liability coverage and rent protection insurance. Other than that, many insurance providers offer additional extras such as accidental cover, malicious damage cover and cover for vacant property. You can choose a cover according to your property requirements. However, keep in mind that the more cover you select, the more you have to pay. If you want to get cheap landlord insurance, it is critical to choose the right cover. For example, if you are renting out a furnished property, there is no need to get content insurance.


There are a number of insurance providers in the UK, so it can be challenging to find the right one. You must shop around and make price comparisons to find an insurance policy that meets all your requirements.