Buy To Let Insurance Inclusions and Tips for Cheaper Premiums


As a landlord buy to let insurance should be considered an essential purchase if you want to protect your investment. This applies if you own a single property or an entire portfolio; ultimately the time, energy and money you have poured into your rental properties require protection, and protecting yourself from legal wrangling is also important.

The peace of mind that effective buy to let insurance can deliver is its greatest value, leaving you to run your lettings portfolio without having to worry about unforeseen events. Common insurance inclusions could be:

Buildings cover is one of the typical inclusions and will cover your property or properties from risks such as damage storms or floods. Ultimately this type of cove will pay the repair costs should the property become damaged. It does not however pay out to the cost of the property on the open market but simply finds the repair value or the price of labour and materials to rebuild the flat or house.

Similarly the majority of buy to let insurance policies will provide some form of contents coverage. Contents insurance will cover the furnishing such as carpets and curtains and even sofas. The contents insurance however may not always cover the furnishings from malicious damage by tenants and will typically cover them against the same risks as the buildings cover. it is worth however checking over the policy options to see if malicious damage cover can be included.

One of the key points within buy to let insurance is that it frequently covers the landlord from loss of rent, either as a result of the property becoming uninhabitable because of damage or if the tenant defaults on their payments. The details of where loss of rent is applicable and the percentage to which the insurer will pay out will also be detailed in the policy.

If you want cheaper buy to let insurance there are number of strategies you can employ which will help to lower the costs of your premiums and make your life easier.

• As an owner of multiple rental properties it may worth looking for an insurer that will offer you a discount for having all of your properties on one single policy.

• Assess your risk carefully and the insurance you will need to cover this risk, being underinsured is inadvisable but paying over the odds for cover you don’t need should also be avoided.

• Consider adding landlord emergency cover to your policy. This type of cover may cost a little more on a monthly basis but it does remove the hassle, and expense of callout charges when accidents to happen.

• Finally, be careful about the tenants you choose, look for those with a good track record and do not accept smokers or pets. This reduces the risk and may result in cheaper premiums.

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