Being a landlord can be stressful at times and, now and again, you’ll probably question whether it was all worth it (especially if your tenant has done a runner leaving you 3 months' rent short or the boiler has blown up). Maybe you should consider landlord insurance.
All forms of insurance are essentially a bet between you and the insurance provider. You’re saying “I bet XXX amount each year that something bad will happen to my property” and the insurance company are saying “Bet it doesn’t, if we’re wrong we’ll pay for it”. Clearly it’s all a lot more complicated than that but, as with all insurance, what it boils down to is whether or not you’re prepared to take the risk of not having posted a bet.
There are several policies tailored to suit the needs of those letting property and they can cover anything from ceiling collapses and boiler replacement to rent losses caused by tenants leaving. Specialist buy to let insurance is likely to be a little more expensive than regular insurance (around 20%) but policies can cover things such as rent loss if a tenant moves out and even re-housing a tenant in the event of a problem with the property.
Rental properties in purpose built rental blocks will usually include landlord insurance so all you’ll need to cover is your contents. If you own a leasehold property then you’ll want to cover your fixtures and fittings and certain liabilities. If you own a rental property outright you’ll definitely want landlord insurance as regular household insurance is unlikely to cover everything.
You may end up paying extra for something you don’t claim on but peace of mind is an important consideration and one claim, in the event of something catastrophic happening, will more than offset the premiums you’ve paid.
Endsleigh insurance offer specialist insurance for landlords
Local landlords’ associations can advise you on the best policy for your needs.