What is landlord buy-to-let insurance?
Buy-to-let insurance is a type of home insurance designed to minimise the risks posed when you lease out your property. It’s more specialised than standard home insurance, which, in itself, doesn’t typically offer cover if something goes wrong with your tenancy.
Frequently asked questions
What does landlord buy-to-let insurance cover?
Most buy-to-let insurance policies will cover you for the following:
- Buildings insurance - to cover damage to the structure of the property or any permanent fixtures as a result of vandalism, fire, floods, storms or subsidence
- Contents insurance - if you’re letting out a furnished property
- Liability insurance - protection in the event a tenant or their visitors sustain an injury in your property for which you can be blamed
- Alternative accommodation costs - if the property isn’t fit to live in after a fire or flood, for example
- Loss of rent - cover for periods where the property is empty due to unliveable conditions.
Some insurance providers also offer additional cover that includes:
- Rent guarantee protection
- Legal expenses for tenant-related disputes
- Accidental damage.
Do I need to have landlord buy-to-let insurance?
Although it’s not a legal requirement, many mortgage lenders will insist you have the right kind of insurance in place when you apply for a buy-to-let mortgage.
You may also find that standard home insurance won’t cover a rental property that you don’t live in.
How much does landlord buy-to-let insurance cost?
The price of your premium depends on a number of factors, such as the size of your property, your personal circumstances and even the type of tenants you have. For example, in insurance terms, students are considered a higher risk than working professionals or a family with a secure income.
Can I reduce the cost of my landlord buy-to-let insurance?
The best way to get a good deal on your insurance is to shop around and compare a range of quotes. But you might be able to reduce the cost of your premium by:
- increasing your excess
- installing security features.
Where can I find landlord buy-to-let insurance quote?
Getting the most suitable landlord buy-to-let insurance is easier with Compare the Market’s handy comparison tool. So why not compare landlord buy-to-let insurance with us today and see if you could save?