It is essential for any landlord to take out the appropriate landlords insurance in order to protect their properties and most importantly their business. A landlord’s insurance policy or buy-to-let insurance policy will do just this, protecting buy-to-let properties of all sizes.
All buy-to-let investors, from those with a chain of properties to a small landlord with a studio flat, have invested their hard earned money, so what better way to protect that investment than buying landlords insurance? Landlord insurance not only protects capital but also helps to protect a landlord’s flow of income.
A home insurance policy is not sufficient to protect a buy-to-let property. No matter what size the property is, if it is rented to tenants you are classed as a landlord and will need to take out the appropriate landlord’s insurance policy.
Get the appropriate landlords insurance
There are many different insurers offering different levels of cover at different premiums. Before purchasing your landlords insurance make sure you check for the following crucial features:
Insurance of the building – this includes cover to protect the property against damage from things such as fire, flood and explosions and will pay for the damages or rebuild of the property. Many policies will also now include terrorism cover.
Insurance of contents – this includes cover to the contents of the property owner for things such as carpets, sofas, chairs and pictures.
Insurance for accidental damage – this includes cover for the costs of purchasing or fixing the buildings or contents of the property.
Insurance for loss of rent – this includes cover of up to 12 months rent loss periods.
A good landlords insurance policy will also provide additional features such as employer and public liability cover and unoccupancy cover in addition to the above features.