Landlord Insurance

Landlord Insurance for Let Properties

This is a most important area that should not be overlooked when a Landlord lets out a property.

The risks associated with let properties are significantly different to owner occupied properties therefore you are well advised to use an insurer who specialises in this type of property insurance.

An existing, standard, buildings or contents insurance policy on a property owner occupied may not cover the property or contents when it is let, may restrict the cover and or increase the premium. Years ago insurance companies were not happy about covering let property in the UK, but today you have a choice.

You can obtain a quote on line and arrange cover on line.

Insurance Providers

HomeLet Landlord Insurance

 

Simple Landlord Insurance

 

Buildings Insurance

This is for re-Build costs - not market valuation. It is essential that your property is adequately insured. Sometimes the re-building value will be considerably lower or higher than its market value. Older properties in the lower priced areas in the UK will cost much more to re-build that their market value.

In the UK many properties are under insured, which means in the event of a claim, insurers will not pay the full amount of the claim. If you have any concerns about the amount of cover you need for re-building contact a professional qualified surveyor. If you have an apartment, the buildings insurance will often be part of the amount you pay out annually for service charges and ground rent. Check out the situation with the block management agents.

You should also advise and obtain consent to let your property from your mortgage lender, existing insurer and head lessee (for leasehold properties). Failure to obtain written consent from these parties may render your insurance void in the event of a claim.

Many general insurers and mortgage lenders will not cover the property if you intend to place certain categories of tenants in your property i.e. Student, Multiple single sharers and tenants in receipt of State Benefits. Check this out.

Usually buildings policies will provide an element of Employers Liability cover. This covers claims for death or injury to anyone you employ at your property i.e. a gardener, painter etc. If you are letting to students or to tenants in receipt of state benefit the university / local authority will normally require a minimum cover.

It is also essential that your policy includes Property Owners liability cover to a similar limit to cover injury, death or damage to individuals on or adjacent to your property.

When you take out a Buildings Policy the main insured perils should include Fire - Lightening - Aircraft - Explosion - Smoke - Impact - Burst pipes or leakage of oil - Storm or flood - Subsidence damage - Theft- Malicious damage. (Some policies will give the option of malicious damage caused by the tenants - a valuable option for let properties).

Most policies will compensate you for loss of rent following damage from one of the above perils if the property is uninhabitable. Check this out with your block management agent if you have an apartment and don't arrange the buildings insurance yourself.

Back to top

Contents Insurance

A high percentage of owner occupied properties in the UK are under-insured for the contents. Generally individuals place a value of what the contents are worth not what it would cost to replace them with new items.

Most specialist insurers will offer the option of a full contents policy or a limited contents policy. Limited Contents Cover. As many UK properties are let unfurnished / part furnished. A limited contents policy would typically give a fixed limit of cover for items such as: Carpets - Curtains - Blinds - Light fixtures and fittings - Kitchen white goods on a new for old basis.

If your property is fully furnished or the limited contents would cost more than £5,000 to replace, you should have a full contents policy. You would normally select the sum you wish to insure for; again this should be adequate to replace all of the contents on a new for old basis.

Back to top

Emergency Assistance Insurance

This type of cover will provide assistance for the landlord and the tenant in the event of an emergency at the property such as: Failure of the electricity supply - Failure of the cooking facilities - Lost keys - Plumbing problems - Leaking roofs or guttering - Security of doors and windows. Policies will provide parts and labour cover up to a specified amount and either the landlord or the tenant can call a 24hr 365 day Helpline. (Check out the details on offer from the insurance company)

If you have not taken a full management service from your letting agent or do not live near your property this can be a cost effective solution. Please note that that these policies cover Emergency Assistance only and not a repair service through lack of routine maintenance.

Back to top

 

Legal Expenses Insurance

Even when using the services of a professional letting agent, problems with tenants can occur. In many cases the tenants personal circumstances have changed during the term of the tenancy. Situations like loss of their job, failure of their business, a relationship break-up, accident or illness will effect the tenants ability to pay the rent or their inclination to move out at the end of the tenancy.

All these situations can be resolved but will usually involve a Court hearing and solicitors costs. Legal expenses insurance will usually cover all of your legal costs, solicitors/barristers fees, Court and bailiffs' costs. Most such policies will cost well under £100, which represent less than 45 minutes of a specialist solicitors time on a normal fee paying basis. The "average" legal cost of a possession hearing in 2001 was £785, many cost well over £1,000.

Back to top

 

Rent Guarantee Insurance

These policies are invaluable for many landlords. As a tax deductible premium this will guarantee you receive the rent you are expecting from your property regardless of your tenants personal circumstances, ability or willingness to pay the rent.

If you have a mortgage on the property or have calculated your rental income verses your outgoings this will ensure you do receive your rent. Most such policies will include the legal expenses, as detailed above. You will receive your rent and the legal fees to obtain vacant possession will be covered.

Policies will usually guarantee your rental for a fixed period, typically 6 or 12 months. Some policies will provide additional cover once you have obtained vacant possession until you are able to re-let your policy.

The costs vary from a fixed cost policy or are commonly rated as a percentage of the annual rental figure, typically 3-4%.

Back to top

To enter the jml-property-insurance site please click here

_______________________________________________________

The jml Insurance website advertises and introduces you to many insurance products. To enter this site click on logo below

PROPERTY: Rental, Landlords', Home Contents & Buildings, Tenants', Overseas Property Insurance, Self Build, Structural Warranty, Blocks of Flats and more..

TRAVEL: Holiday Travel, Ski, Backpacker Travel and more

MOTOR: Car Hire Excess, Car, Caravan, Motor Bike, Motor Excess Insurance, Senior Motor, Student Car, Taxi, Van, Womens Motor, Young Driver

STUDENT: Rental, Tenants', Student Car, Student Travel

PET: There is no NHS for pets, make sure your family pet is properly covered

WEDDING: Safeguard your big day now by getting comprehensive insurance for your wedding

HEALTH & LIFE: Life, Health, Dental Plan

BUSINESS INSURANCE: General Business, Public Liability,Shop and Retail, Office, Tradesmen and Surgery and Clinic insurance, Employers liability, General Business and more

MOBILE PHONE - CREDIT CARD PROTECTION and more...

 

Irish Property Insurance

Holiday Homes, car hire excess insurance and more

Find out more Here

Back to top

 

e-mail Contact: 

Landlord Insurance

 jml Property Insurance.co.uk /jml Property Services acts purely as an advertising service for insurance companies. We are not insurance brokers and are unable to offer advice or deal with any of our advertisers enquiries.. All dealing must be with the insurance company that you will gain access to via a link from this website. jml Property Services are unable to give advice either verbally or in writing regarding insurance or assist with changes to insurance policies that you have taken out. You must contact the insurer direct. We are therefore unable to provide any quotes ourselves as we would be breaking the law. All dealing must be with the insurance company that you will have accessed via a link from this website. If you are unable to access one of the insurance company's sites please email us by Clicking Here . There are occasions when a link is broken to an insurance company's website and we are not aware of this.

jml Property Services is a trading name of Jeffrey Milner Ltd - PO Box 80 - Princes Risborough - Buckinghamshire - HP27 0WA - England - Established 1979

jml Property Services are members of the National Landlords Association NLA in the UK and Riviera Business Club RBC in the Côte d'Azur France 

© 2009- 2010 jml Property Insurance - All rights reserved