Do you own a buy-to-let property? Regardless of whether you have just one property or a vast portfolio, landlords’ insurance is essential.
Whilst similar in nature to a standard homeowner’s policy, landlords’ insurance is specifically tailored to protect against risks you’re likely to face as a landlord.These can include risk of injury liability to your tenant, potential loss of rental income if you experience a period with no tenant, and property damage within the home.
Coverage for these additional risks are the reason that landlords’ insurance policies are more expensive than a standard homeowner policy. But beware – should your rental home be damaged in any way, you may be denied coverage if you only have standard homeowner’s insurance.
Most landlords’ insurance policies offer protection from the following types of losses:
- Property Damage – Similar to dwelling coverage under a homeowner’s insurance policy, this covers damage to the structure of your home due to weather, and also covers personal property within the home. It’s a good idea to be sure that coverage for vandalism is included.
- Loss Of Rental Income – If your property is damaged in some way, and you are unable to rent it out for a period of time, your policy may cover lost income.
- Liability – This protects you legally if someone – i.e. a tenant or a visitor – is injured on your property.