Landlords rental insurance is a specialist type of insurance for landlords. It is designed to take the risk out of letting a property, at a low monthly or annual charge. There is always the chance that your tenants won’t pay when you rent out a property – no matter how extensive the measures you take against this are. In this day and age, a growing number of people are trying to get away with not paying what they owe to landlords.
Most commonly, landlords use their rental insurance when a tenant vacates the property unannounced – without paying their rent – leaving the landlord with no way of finding them. If you have rented out properties before, you will probably have experienced problems like this. The landlord can claim back what they were owed in rent from their insurance company.
Landlords rental insurance can also help if a landlord has to take legal action against a non-paying tenant. For example, if the tenant is constantly making payments late, their landlord may wish to evict them; if the tenant won’t leave voluntarily, legal action will have to be taken. This avoids the situation of the landlord attempting to take matters into his own hands, which could lead to further problems for all parties involved.
It is vital you take out let property insurance if you are planning to rent out a property. This is even the case if you are only renting out part of a property – for instance, the outhouse of your own home; just because they are living in your back garden, it doesn’t make it impossible for them to leave without your knowledge.
Don’t leave yourself at risk; protect yourself financially. The cost of insurance will pay off when it helps you in a situation that could have left a large dent in your finances.