If you’re new to the whole domain of being a landlord, then there are a few things you may need to consider relating to insurance for let properties.

The first thing is – you’ll probably need it!

Your responsibilities

Once you start letting out properties, you’ve become a landlord! It’s a fact that you have a business and you may be advised to think of it as such.

Certainly the law, insurance and even taxation authorities will consider you to be a commercial operation and you may wish to start taking steps to protect your interests accordingly.

For a start, your buy to let insurance is going to become important because without it, your property asset may be at risk. You also need to be careful if you’re changing the use of an existing property that you occupy as owner to one of being rented-out, to ensure that you change your buildings and contents policies to landlord insurance versions.

Insurance for let properties

Policies exist to ensure that your buildings, fixtures and contents are protected.

Some of these may also include provisions to offer you financial protection against wilful damage caused by tenants.

They may also offer cover for third party public liability – something that’s pretty important once you start having tenants and their visitors on your property.

These types of policies may offer you various forms of legal costs protection if the legal activities arise as a result of an insured peril but that typically may not include things such as trying to evict tenants or recovering rent arrears etc.

Empty properties

It’s perhaps worth mentioning that you may wish to consider taking out what’s called empty property cover.

It’s not always appreciated that some household and buildings insurance policies become invalid if the property is left unoccupied for more than 30 days.

In fact, this may also apply to owner-occupiers (extended holidays, business trips etc) but as a landlord you may be particularly vulnerable if your property is unoccupied between lettings or is under repair/renovation etc.

The right insurance for the right job

Insurance for let properties is what landlords’ typically require. Don’t try and use owner-occupier home buildings and contents cover. Yes, it’s often a little cheaper but it won’t be valid for your situation! In the event of a claim, typically a traditional home insurance policy won’t pay out if your property is let out – and that won’t be something you’ll want to hear!