While there is no legal requirement for landlords to hold landlord insurance, it is a sensible investment. There is also the fact many mortgage providers don’t offer a buy-to-let mortgage without the landlord holding sufficient protection. There are many types of landlord insurance to choose from, so it is helpful for landlords to know the kind of insurance which is best for their needs.
You may wish to consider insurance which covers your contents or which provides protection when a tenant doesn’t pay their rent. Working closely with Rubery landlords, we know the most common complaints landlords have, and the areas they need cover. We also stay in touch with market trends, and the five most common insurance claims are:
1. Broken or burst water pipe
2. Weather-related damage
3. Damage from break-in or theft
4. Accidental damage by the tenant
5. Malicious damage by the tenant
Knowing these are the most common claims made by landlords is essential, as it gives you the chance to be proactive. If you can minimise the likelihood of these incidents occurring, you increase the chances of maintaining the condition of your home. You also reduce inconvenience and stress for yourself and the tenant, which is positive in the short and long-term.
When pipes burst in a rental property, it is costly and hugely inconvenient. You may have to rehouse the tenant, and the cost of repairing the property can be expensive. Insurance is vital in ensuring you can afford to restore the property, but there are ways you can minimise the likelihood of this damage occurring.
If pipework is concealed at the rental property, perhaps behind a wall or tiles, make sure there is a way to access the pipe quickly. A panel helps you manage potential problems of this nature. As a landlord, you should make sure the tenant knows how to turn off the stopcock in an emergency. During inspections, you should ensure water drains away in the kitchen and bathroom.
Weather-related damage is a concern for many landlords, but again, there are steps you can take to reduce the likelihood of this occurring. You should check your roof, clear guttering and drains, and you should review the condition of door and window frames. When you are proactive in caring for the outside of your rental property, managing the inside of the property, and the people, becomes a more straightforward process.
It is in your best interests to offer a secure rental property. Tenants are looking for a stable home, and creating a safe environment reduces the cost of repairs. Also, break-ins may lead to tenants moving out, which creates more work for landlords while increasing the likelihood of void periods.
Therefore, as a landlord, you should review and upgrade the security features at your rental property regularly.
When it comes to damage caused by tenants, there is only so much you can do. After all, accidents will happen, and having suitable insurance in place makes sense. However, you can minimise the likelihood of malicious damage occurring by vetting tenants.
You should obtain references for tenants, and if they have a history of damage at a rental property, it is best not to let to them.
If you are a landlord looking for help letting to Rubery tenants, we can help. We are pleased to say we have assisted many Rubery landlords over the years, and we look forward to helping you, so please get in touch today.