Landlords Insurance Contents

Landlords insurance contents

Your property and tenants are important to you. They generate income for you and constitute the core of your business. Yet if your rental includes contents and furnishings, you may be seriously exposed to financial loss unless you have in place a suitable form of landlords insurance contents.

Your contents insurance

For the normal owner-occupier, the risk to contents and possessions arises largely from two sources:

• Disasters such as fire, flood and accidents etc;
• Theft from parties that have made an illegal entry (i.e. burglars).

For the landlord however, the position is rather more complex. You may find that your prized possessions and other contents are additional at risk from:

• accidents caused by your tenants;
• theft or vandalism by tenants;
• theft or vandalism through forced entry while the property is unoccupied.

Specialist buy to let insurance is necessary

Due to the fact that your contents may be more at risk in a landlord rental as opposed to owner-occupier situation, the insurance companies typically will define specific insurance to protect you against the risks concerned. The costs of such a landlords insurance policy may be marginally higher than that associated with traditional owner-occupier contents insurance.

Traditional insurance will not suffice

If you have traditional owner-occupier contents insurance, this will usually become invalid the moment you start to rent out your property.

You may find that you need specialist landlords insurance contents if you are to be confident that your possessions are protected against the above and other risks.

Other special insurance considerations may apply

Renting out property may prove lucrative but is also brings with it other major financial risks. Once again, typically the ‘standard’ buildings and contents insurance will not cover these risks if the property is being rented out.

There are a number of additional risks that may create the need for further specialist cover. Just a summary of these may include:

• public liability cover;
• loss of income;
• loss of rental debt due to fleeing tenants;
• damage (intentional or accidental) by tenants to the fabric of the building
• buildings cover while empty etc.

Expert help

Understanding the complexities of landlords insurance contents may not be easy. It may be even more difficult to understand the risks and exposures you face from some of the other risks outlined above and what insurance is available to deal with them. Contacting a specialist provider of landlords insurance may help you find the most suitable type of landlords protection insurtance that your investment property needs.