Buildings Insurance for Landlords

Buildings insurance for landlords

Renting a property also means taking on extra responsibility, and this means taking on a possible extra insurance policy. There are many options when it comes to buildings insurance for landlords, and most of the specialised deals can provide a much more useful package the than a standard home insurance policy. The problem with a traditional home cover deal is that it may be invalid if the property is left vacant for a period of time, for example, and may not include some of the useful extras that a proper policy can provide.

For example, buildings insurance for landlords includes protection for unoccupied property, meaning there is no chance of your cover suddenly being invalid because a home has been left empty for, say, 30 days. Other common extras include landlord liability insurance, which protects you in the event you face legal action following something which has happened to a tenant.

For example, if someone fell through an un-maintained manhole in a rear yard and sought compensation for alleged injury, holding you responsible for the maintenance, landlord liability cover would pay your legal costs and would also even meet the cost of compensation if it was awarded against you.

Specialist providers

There is no shortage of providers willing to supply specialised landlord's insurance, thanks to a boom over the last decade in buy to let entrepreneurs. This means some elements are on your side and there is considerable competition for your custom. This also means it is possible to compare a number of different policies and get an effective cover plan at a reasonable price.

When getting a policy in place you may want to look carefully at exactly what circumstances are covered by a policy. For example, all buildings insurance deals will include a sum insured, which is the total amount an insurance company would pay out as a maximum, for example if the building was destroyed completely. This should be enough to build a home right from the ground up from scratch if it was destroyed in a fire, so be careful not to underestimate.

You may also need an even more specialist policy which perhaps covers a listed building, for example, or protects a house with unusual features, for example with a thatched roof. For this you may need to approach one or two independent specialists and can always get the advice of a specialist broker.

Buildings insurance for landlords goes far beyond some of the features of a common home cover deal and is designed to avoid some of the pitfalls which could be associated with things like unoccupied properties and problem tenants, as you can even get an extra feature with some providers which covers against unpaid rent. If the bricks and mortar are solid, it can make sense to get a policy which is just as robust.