Insurance for Landlords

Thinking of investing in buy-to-let property? Make sure you get your insurance sorted.

Any business faces risks on a daily basis and owning a second house as an investment is no different. A fire or robbery may destroy your nest egg and the hard work you have put into it.

With buy-to-let properties becoming an increasingly popular method of saving for the future, it makes sense to protect your investment. Insurers have recognised the need for landlords insurance and as a result have developed a policy to cater specifically for landlords.

A landlords insurance product consists of a number of insurance products bundled together which will not only save you a great deal of time and effort, it should also cost less. If you plan to be, or are, a landlord for a residential property you would insure the building and any of your own belongings left in it (such as furniture).

An example of what would be covered may include (but would not be limited to) the building, any fitted interior units, and other possessions. A landlords insurance policy would also provide cover against fire, theft, vandalism/malicious damage, leakages, smoke damage, subsidence, burst pipes, impact from vehicles, falling trees, animals, aircraft, aerials and masts. You may also want to consider a policy which includes items such as business interruption and liability.

The tenant would take out an insurance policy to cover only their own contents and possessions.

Insurance for commercial landlords is slightly different in that the landlord is responsible for insuring the building and claiming premium payments from the tenants as business tenants would normally be charged (and expect to pay) for the building insurance. In addition a commercial landlord would also need liability insurance, legal cover, debt management and other bespoke insurance policies.

Click here for a Landlords insurance quote

Posted by Holly on 07/11/2007