Building insurance is just what it says – it offers protection against loss or damage to the structure and fabric of a building you own.
Building insurance is a common feature of owner occupiers’ home insurance, but do not be misled by the fact that this element of cover is also a feature of building insurance for landlords. Insurance for owner occupiers and landlords is essentially different.
If you buy to let property, you own a valuable business asset which is capable of generating a steady income stream from rents and also has the potential for significant capital appreciation, which may be realised if and when the property is sold.
It is an asset you want to protect from a wide range of risks and perils which may lead to damage to the structure and fabric of the building or even its total loss in the event of a major incident.
Whether it is a fire, storm damage or flooding during a harsh winter, burst pipes, or even impacts from falling objects such as trees, branches or collisions by vehicles or aircraft, there are all manner of serious – and costly – threats to your building. They may be expensive to repair, or in the worst of cases, so damaging that the whole site needs to be cleared and the property built again from scratch.
Remember that not all landlord’s building policies cover all the possible risks, so it is important to read the small print carefully and ensure that the protection you need is included in your insurance – and that cover you might not need is excluded, so as to avoid paying premiums on protection you might not need.
When buying your building insurance, it is very important that you make the cover is for let property and not for the home which you occupy as your main place of residence.
Insurers take the view that the risks and perils faced by let property are of a different order and nature to those faced by a home that is owner occupied. The fact that tenants are in occupation is what insurers call a “material fact” and if you omit to make this crystal clear, any subsequent claim you make might be rejected.
In short, it is important to distinguish the type of building insurance with which you might protect the home in which you live from building insurance for landlords.
At UKinsuranceNET, we understand the particular needs of landlords who want to make sure that the building they are letting is safely and securely protected.
We understand that you may have tenants from a range of different backgrounds – and arranging insurance on that basis presents us no problem at all.
We also understand that there may be times when the building you let may be left temporarily empty and unoccupied – if you have the builders in, for example, or if there is an interval between one tenancy ending and the next one starting.
Get to Know Us