Article by Jason Hulott
Having buy to let landlords insurance is typically a sensible approach for helping to protect your financial investment in your property.
Your first thought may be that buy to let landlords insurance relates only to the building itself and possibly your contents. Typically though, there is a bit more to it than that, including, with some providers, landlords insurance cover for other elements like reimbursement of legal fees or compensation for loss of rent, that you may find interesting and worth having.
Landlords buildings cover provides protection against damage to your property, typically as a result of things like storms, floods, fire, smoke damage and earthquakes.
Some policies may provide cover for subsidence as standard. Others may not though and it may be worth remembering that if is not specifically mentioned, it may well not be covered.
This form of buy to let insurance may be compulsory if you have a buy to let mortgage on your property.
Public liability cover
Buy to let buildings insurance may typically also include public liability cover. This provides financial protection in the event that someone sues you, as the result of some injury or damage that can be attributed to your buy to let property.
Legal fees may typically also be covered in this type of legal action whether you win the case of not.
Landlords contents insurance cover
If you rent out your buy to let property on a furnished basis, then you may wish to consider contents cover.
Loss of rent
Some buy to let landlords insurance may also provide cover for loss of rent, in certain circumstances.
This may typically apply in cases where your tenants have had to move out of the property, as a result of it becoming uninhabitable due to an insured event like a fire for example. This cover may not be applicable to rent losses due to tenants absconding and leaving rent arrears.
Unoccupied property insurance
One aspect of buy to let property insurance that it may typically be advisable not to overlook, is that special steps may be necessary if your property stands empty for period a period of 30 consecutive days or more.
This is due to the different risks that apply if your property is empty. This could happen if you are carrying out renovations, waiting for new tenants to arrive or are involved in divorce or probate proceedings.
You may find that your buy to let landlords insurance may be invalidated if you do not notify your insurance provider in these situations. They may be able to provide you with unoccupied property cover to help keep your protection in place.
About the Author
Richard Burgess is Director of cover4letproperty (http://www.cover4letproperty.co.uk) a dedicated UK landlord insurance broker. Their easy to use site and friendly staff will get you multiple quotes from specialist insurers for landlord insurance at a competitive price.