The importance of landlords protection insurance

If you have experience in letting out owned properties, it is likely you know of the financial risks involved. Thousands of tenants in the UK leave – or attempt to leave – a property they have rented without paying what they owe. This leaves the landlord with the financial burden of having to make up for this loss of rent. No matter how carefully you choose your tenants, it is impossible to know how trustworthy they really are.

Luckily, it is possible to get financial protection against these circumstances. Landlords protection insurance can help if you find yourself in the unfortunate situation of losing your rent. Usually, it costs around £50-£75 a year to maintain the insurance. This is a worthwhile purchase, as it avoids you being at risk of losing much larger amounts of money.

When you discover your tenant has left the property without paying their rent, you should exhaust every way of contacting them. If you find it impossible to do so, you should contact the police – hopefully, this will lead to them being caught in the future. Then, you should begin the process of making a claim on your landlords protection insurance. Normally, it doesn’t take long – you will probably just have to fill out a form, or speak to an agent over the phone. After your insurance provider has checked the situation to ensure your claim is valid, you will receive your money.

Protection insurance can also help if you lose rent because you are unable to rent out your property for a number of months. Usually, this is due to the property being damaged in some way. If you wish to have this sort of protection, make sure it is included in the policy you choose. Having complete insurance will give you protection and peace of mind.