Landlord property insurance – the devil’s in the details

When you’re a landlord, you don’t want to be kept awake at night worrying about what could be happening to your property. You have no doubt committed a large amount of your money to these investments, and you want to make sure it’s safe. With crime rates perpetually high, the constant spectre of terrorism looming over us and natural disasters happening left, right and centre, landlord property insurance is more important now than ever. The aforementioned threats are outside of your control, but the choices you make, like that of whom you let to, can influence what happens to your assets too. Mitigate these factors by choosing the right landlord property insurance.

Normal landlord property insurance will cover a variety of things. Damage to the property is usually number one on this list. Destruction caused by fire, water or the malicious actions of others is the most likely cause of harm to your property. Outside of this, many providers sell a product which covers rent lost due to defaults. Some will even provide your tenants with an alternative residence if your property becomes inhabitable.

What is covered is crucial, but so is the list of what isn’t. Often overlooked, things like fixtures and fittings, gardening equipment and communications equipment all represent an investment from you. If you want these things covered, don’t assume that all policies meet your requirements.

Many insurance providers also allow you to extend their basic package to include things like legal cover, for taking action against people who damage your property. Another common option is home emergency cover, which will help with the costs of calling out repairmen at short notice, for example.

The key point to take note of is that policies differ widely and you should shop around, making sure to inspect each policy’s wording carefully. Doing this could help protect you from the personal financial disasters that strike many people each year.