Whether you are a seasoned Residential Landlord with an extensive portfolio or have a single property let out on an Assured Shorthold Tenancy it is vital that your capital asset (the property) is protected with Buy to Let Insurance. Your insurance policy should cover your liabilities as a Landlord as well as your property and protect your interests in property.
Many years’ worth of buy to let income can easily be wiped out by one bad tenant or a relatively small natural occurance such as a particularly bad storm or a water leak.
As with most buildings and contents insurance your policy should cover you for structural issues such as subsidence and dry rot and damage caused by events like flood, fire and storms. When you add a tenant into this scenario there are other insurable risks such as rent insurance (to cover lost rent in the event of an insured event forcing the tenants to vacate), legal expenses, and Landlord’s liability insurance.
What should you look for in a Landlord’s Insurance policy?
Cover for buildings
To cover for example damage to the structure of the building caused by a fire, smoke, lightening, theft, vandalism, flood, storms subsidence and falling trees.
Loss or damage to your property (such as furniture, washing machine, fridge freezer) caused by one of the insured events listed above.
Loss of Rent
This would cover you for lost rent in the event that any of the insured events (such as a flood) prevent the tenant from living in the house and paying rent. This can sometimes be extended to cover the cost of temporary accommodation for the tenants which you may be liable for.
Property Owner’s Liability with Indemnity
For example to cover the cost of unauthorised use of services such as electricity or gas for which you are responsible arising from unauthorised use by people illegally occupying your property. Also to cover your legal liability for injury to any person or loss or damage to property (for example if a tree in your garden falls on a neighbour’s conservatory).
For example if you have a grounds man or maintenance person in your employ and they injure themselves whilst on the premises.
To cover your legal costs in the event that you have to take action concerning rental arrears or in evicting tenants that have ceased to pay rent or have breached their tenancy agreement in some way.
A recognisable Insurer with a good claims service
There are many low cost insurance services available on the market however the entire purpose of insurance is to insure against the worst happening, and if your insurance service is unhelpful, leaves you uncovered when the worst does happen then you may feel it was not worth being insured at all.
To get Buy-To-Let Insurance advice or a personalised quote for a single property or a portfolio complete the form below and a representative of Melville Burbage Insurance Services Ltd will contact you to discuss your requirements.