Points of landlord comparison to consider

The techniques you use to conduct a landlord comparison can vary depending on what you are looking for. With dozens of insurers available, it really is a buyer’s market, and this post looks at the different things you should contrast between quotes when on the hunt for an amazing deal.

Can I pay monthly?

Sometimes, you may find that if you have more than one property, it can be much more affordable to pay on a monthly basis instead of every year. If you are considering this approach to payment, just double-check that you won’t incur surcharges for the privilege.

How comprehensive is the cover?

During a landlord comparison, you will be covered in the event that your buildings or possessions are lost or damaged. However, by getting protection against lost income because of an inability of your tenants to pay, damage that is caused through accidental means, and even public liability insurance, some deals are more bulletproof than others. Getting the cheapest deal won’t always work to your advantage, especially if this means that you will have to pay astronomical amounts of money in the event of a claim anyway.

Is the insurer just based online?

It certainly is great when we are able to complete a landlord comparison in our slippers, but if you have a question for an insurer’s customer service team, it can be beneficial to get a face-to-face reply from someone who is on the phone. You might wish to check this, particularly if you are a serial landlord, as waiting for emails from customer service teams can be painful if you have an urgent matter that needs resolving.

By doing your research into what to expect from landlord insurance companies, you will be able to analyse the different offerings available in a way that will protect you brilliantly – whatever happens.

The difference between residential and commercial landlord insurance cover

Contrary to the popular belief of many people, there isn’t just one type of landlord insurance cover available. The policy you require usually depends on your circumstances, and on the nature of the property you are leasing. For example, if you have a number of properties that you wish to lease to tenants looking for a place to live, residential cover comes recommended. However, in contrast, landlords with office space for entrepreneurs need to consider commercial landlord insurance cover instead. In this blog post, we are going to compare the subtle nuances between the two.

Usually, residential landlord insurance that’s basic will cover you against floods, fire and other circumstances that can be of a massive inconvenience to both you and your tenants. Should the people you rent to also end up in arrears, insurance can cover the wages that you will have lost – after all, being a landlord is a source of income for many of us. In addition, should yourself or someone you are leasing to accidentally damage an aspect of your property, a good policy will look out for you and provide the landlord insurance cover you need to get everything amended in a timely manner.

In contrast, commercial landlord insurance is geared towards businesses in particular. You may find that you are a property magnate that has offices, shops and properties for people to stay in, and so ensuring you choose a policy that will cover your entire portfolio is essential. If you lose the keys to your property, or if someone else does, you can take advantage of insurance money to change the locks in a timely manner. In addition, should someone use the utilities of your assets without prior consent, you could claim back the total value of the bill for things like gas or electricity used.

The differences do go far deeper than this, but this is a basic outline of what to expect from residential and commercial landlord insurance cover respectively.

The essential and optional points of cover for a landlord insurance policy

A landlords insurance policy does fluctuate dependent on your budget and how comprehensive the cover is, as we have established in previous posts. Interestingly, whereas it is recommended that you have some aspects of a policy to protect you in the event that you need to claim, you can choose to reduce your premiums by opting out of some types of cover. In this article, we are going to look at the optional aspects to your landlord insurance policy.

With residential landlord insurance for tenants, you can upgrade certain types of cover if you have more than one property, or if valuables within your houses mean that you would want greater financial support from your insurer. For example, one landlord insurance policy from a leading company typically offers public liability cover of some £2 million, but if you wished, this could be ramped up to £5 million for additional expense to your premiums. In addition, if you wanted your contents to be protected more than usual, this policy would allow you to double the insurance allowance from £5,000 to £10,000.

In contrast, if you are a commercial landlord, there are other forms of optional cover available. For landlords with multiple offices, shops and rental properties, protecting against the potential effects of terrorism can be worthwhile, with cover if your properties are damaged irreparably for new builds. You could increase liability up to £5 million in a similar fashion to a residential policy upgrade, and there is also the chance to enhance employer’s liability insurance to £10 million’s worth of claims if you feel susceptible in this way.

All of these points of cover are optional, and paying a little more into your premiums can provide amazing savings you might not have been able to do without in the event something goes seriously wrong.

The details you need to provide for a landlords insurance quote

When applying online for a landlords insurance quote, there is some information that you need to provide for details about your provisional policy to be accurate. In this blog post, we are going to explore how to fill in a standard form to receive a landlords insurance quote you will be happy with.

Typically, when you are applying for a residential landlords insurance quote, you need to specify the type of property you are insuring – such as a house, flat or bungalow. Following on from this, you will need to provide further details, such as if your house is a mid or end terrace, for example.

From here, you need to provide your contact details and the address of your policy, and typically, how long you have owned the property for. You need to detail what he walls are constructed of, and outline the number of bedrooms or bathrooms within each property you own. Roof construction details and the era in which the property was built are also important, in addition to your estimate of how much it would take to rebuild the property. Remember – this estimate isn’t going to be the market value of the property, and so you may need professional valuations for this step.

Next, details are needed about the tenancy agreement, such as whether you live with the tenants, how many tenants there are, their employment status, the agreement you have and the duration of this contract. You will need to speculate the income you receive on the property per year so your wages can be protected, and the rental indemnity period you have. You also need to specify if you check the property for issues on a regular basis.

To conclude, you need to outline if you have made any claims – whether accepted or declined – in the past five years, and give more details. To ensure that they are competitive, many organisations will ask the best quote that you received from other insurers, as they promise not to be beaten on price. As you can see, if you know your stuff, getting landlords insurance quotes isn’t as difficult as it may seem.

Three tips about landlord content insurance

Landlords content insurance is fantastic. The peace of mind it can get provide is well worth the monthly premiums. Knowing that your investments are safe is a great feeling, especially if you have a family who look to you to provide for them.

This type of insurance, like most types, has its complexities. A wise man once said that nothing worth doing in simple. He was right in the case of landlords content insurance. What follows are three tips that will help you navigate this uncertain landscape.

The duty of disclosure

One of the most important things you must know when taking out landlords content insurance is that you must be totally, one hundred percent honest. You have a duty to disclose any information pertinent to the policy and answer any questions the insurers ask truthfully. Without this disclosure, the insurers will be able to refuse an otherwise legitimate claim.

Not only does this duty refer to the lead-up to you taking out a policy with an insurer, but also the period it is in force. If anything changes you must tell them as soon as reasonably possible. Every day you wait to update them is a day that you are effectively not covered if something happens.

In utmost good faith

Related to the ‘Duty of Disclosure’ above, this means that the relationship between you and your insurer should never be anything but flawlessly fair and honest. No matter how complicated insurance becomes, every contract must be based on this. Any violation can render your policy null and void.

The right to refuse

Insurers are under no obligation to cover you in any circumstances. Even after disclosing everything you can to them, as per the previous two points, they may reject you. Don’t just walk away and forget about it if this happens. It is incredibly important for you to get hold of an explanation, in writing, from the company for future reference. This is because the next company you try to get cover with will want to know what went wrong with the previous one.

Choosing landlords home insurance

Sometimes, being a landlord isn’t easy. When you’ve invested a vast chunk of your worth in a property and something happens to the building, things can get unpleasant. One of the best ways to get yourself the peace of mind that you deserve is to get landlords home insurance. This type of policy covers not only particular types of damage to you property, but also the earnings you lose as a result. This enables you to maintain a steady stream of income no matter what happens.

What does it cover?

As mentioned above, landlords home insurance can cover damage and loss of earnings. Different policies will pay out for different types of damage. Comprehensive cover will pay for the repair of any damage that isn’t specifically excluded by the agreement. Peril policies do the opposite, only covering the scenarios mentioned explicitly in them.

Legal fees and lost rent are the most common expenses included in a landlords contents insurance agreement. Policies which include this guarantee your finances to a degree at which you can nearly entirely stop worrying about what happens to your property.

Premiums

Obviously, landlords home insurance doesn’t come for free. If you shop around, though, and choose your policy carefully, the premiums are far from exorbitant. Many of the factors that affect your premiums are inherent in the policy. The amount you are covered for, for example, is one of the biggest factors. Any excess you choose to accept will also reduce your premium, which may be preferable to you.

A lot of the calculation that goes into working out premiums is based on risk. If you have the choice of where to buy property, choosing a low risk area will mean a lower premium. If you lack this flexibility, securing your property inside and out will convince your insurer that you are less likely to claim. Another way to do this is to avoid claiming for small amounts. This can add to the risk your insurance company associates with you and can increase your premiums.

Finally…

Before finding a policy, decide thoroughly what type and level of coverage you want. Shopping around and keeping your eye on the fine print once you have these details in mind is a lot easier. By doing these things you will end up with the best policy for you and your property.

How to avoid claiming on your landlords contents insurance

Once you have chosen the perfect landlords contents insurance policy, which covers exactly what you want it to and features the extras you desire, it feels good to relax in the knowledge that your property is safe. Of course, sometimes it’s difficult to see the benefit in insurance when the money comes out of your account each month or year. Although you appreciate the cover, sometimes you wish the payments were a little smaller.

Good news! It is possible to reduce the premiums on your landlords contents insurance. This can be done first by choosing a property of a suitable construction in an area that is low risk. If, however, you are unable to change these factors, you can do two related things. First, avoid claiming on your insurance. This is easy to say but sometimes harder in practice. The second thing is to protect your property in every way possible. Not only will this directly reduce your premiums when you inform your insurers, but it may avoid your need to claim entirely, which will bring your premiums down in the long-run.

How can you protect your property? First, think of Fort Knox – the professionals at keeping unwanted visitors out. What have they got a lot of? Locks. Install locks on your windows and deadlocks on your doors to reduce the chances of opportunist criminals popping in for a visit. Go a step further and install an alarm system that is approved by your insurers. This will reduce your premiums and deter burglars and vandals.

With the outside secure, make the inside of your property safer too. Reduce fire hazards in and around the kitchen as well as the rest of the house. Set up smoke detectors and provide suitable fire-fighting equipment.

With all of the above steps taken, you should be able to reduce your premiums in both the short- and long-term. These actions will convince your insurance company that you are lower risk and a lack of claims will reinforce this.

Your landlord buildings and content insurance premiums explained

Landlords buildings and contents insurance can make the difference between your success and failure as a property owner in the long run. The peace of mind that comes with hedging against risks to your investment is probably also a big draw of the product.

Clearly, making sure that the policy you take out is appropriate to the situation you’re in and covers everything you want it to is critical. Extras on the policy, such as those to help cover legal costs, may also be attractive. The kicker though is the more you cover, the more expensive your premiums will be. Balancing this expense against the risk you are exposed to is one of the most difficult parts of taking out landlords buildings and contents insurance.

Cover is one thing, but what else affects your premium? What causes your prices to be higher than Joe Bloggs’?

Risk

Risk is one of the key factors in calculating insurance premiums. Effectively, risk means the chance of something happening to your property that will lead you to make a claim. A higher risk means a higher premium. Risk is calculated from a variety of variables. Police records, combined with the insurance company’s claims history in your area make up a large proportion of the calculation. A higher rate of theft will clearly be reflected in your premiums. Your property being located somewhere with a history of flooding or other natural disasters would also increase the risk perceived by the insurers, meaning higher premiums for you.

Structure

Even the bricks and mortar of your house affect the premiums you will have to pay for landlords buildings and contents insurance. A newer house is much less likely to experience damage from leaks or old wiring than an old house. The design of the roof, as well as that of the drainage system also plays a part.

Your premiums are, then, highly dependent on the property you own. Choosing your property well before you buy it with your landlords buildings and contents insurance in mind can help you bring your premiums down.