The landlords guide to let property insurance
Starting up as a landlord is easier than it’s ever been, but can also be a minefield to the inexperienced or first time landlord. There are relevant insurance policies available to you that are designed to protect you and your investments allowing you to make the most of this country’s growing rental market.
You will be investing your time and money into your let property, it’s therefore paramount that you seek out the correct cover to protect this investment. It’s not only the fabric of the property which you need to consider, but also any contents that remain in your property when its being let out (such as sofas, fridges and other items which may be in the property) and then there’s the rental income itself.
Landlord’s need to spend time understanding the insurance relevant to them to ensure the right level of cover protects the property and contents. Here are Stride Limited’s top tips for purchasing landlord insurance:
Landlords property insurance
Landlords property insurance is protective cover for the structure of your property; it’s the insurance that you would have to call upon if your rented property were to suffer from, for example, a fire, a burst water pipe, or accidental damage to any part of its exterior.
All Stride buildings insurance policies automatically cover all risks including subsidence. Property owners liability insurance is also automatically included with an indemnity limit of up to £5,000,000. However, be aware that the insurance industry now excludes Terrorism cover from all landlord buildings insurance, so it is necessary to consider whether to include this cover when purchasing a policy, as this can be provided at an additional cost.
Landlords contents insurance
If you’re renting out a property completely unfurnished then you may feel you can get away without paying out for landlords contents insurance. That’s a decision to be made on a case-by-case basis, but if you’re unsure, you can contact us for advice. If you’re renting a property furnished or part-furnished (including only white goods, for example) landlords contents insurance will protect your contents and give you peace of mind.
Landlords legal expenses and Rent guarantee insurance
In the unlikely event that you find yourself having to take your tenant(s) to court (whether you wish to recoup unpaid rent, or you wish to be compensated for damages to your property), don’t let the worry of large costs stop you from getting what you are owed. Landlords legal expenses and rent guarantee insurance will cover your legal expenses and the rent payments you miss out on during this period, providing effective protection from potential problem tenants.
Home emergency assistance
Home emergency assistance provides a round the clock emergency response service aimed at limiting material damage to the property, rendering it safe and secure and protecting your tenant from excessive discomfort or risk, if your property suffers an unforeseen problem. This applies to such eventualities as: a failure in your heating, hot water supply, electricity, or gas supply; leaking pipes or blocked drains; damaged external locks, doors or windows which leave the property insecure; and pest extermination.
Home emergency assistance cover ensures you won’t find yourself having to pay for these mishaps directly out of your pocket. Tenants can contact the Stride emergency helpline service directly, and we can offer 24/7 support, 365 days a year.
Choose your tenants wisely
When you’re starting up as a landlord, save yourself trouble from the very beginning by ensuring you choose your tenant(s) wisely. After initial meetings to view the property, but before any contract is signed, you should consider checking their background fully.
We can help you by performing Tenant reference checks. Our service is fast and efficient, delivering clearly worded reports. Credit checks are included, as are references from previous landlords, so that with our service, you can be sure you have strictly vetted tenants, resulting in a more secure rental income.
Once you’ve offered someone the tenancy you must protect yourself further with a legally-binding tenancy agreement, giving your tenant the legal right to occupy your property in exchange for a monthly (or weekly) rent figure. You may also wish to lay down sensible limits on use of the property contents, etc, bearing in mind your insurances (above) you’ll be putting in place.
Insurance and your insurer are there to help you in your business as a landlord, so make sure you have all the advice and cover you need. To discuss options with an expert team, contact Stride Limited today on 0800 840 6699 / 023 9224 8780, or get a let property insurance quote online here.