Landlord’s insurance: what you need to know Making a profit on a buy-to-let property is a balancing act of keeping costs down while making your property an attractive prospect and no doubt by the time you are ready to look for tenants you will be reluctant to spend more money.

However, one thing you may have not yet considered is landlord insurance which, as this blog will explain, is something that you can’t do without.

Expenses insuranceSometimes relationships with tenants don’t work out and you could end up in a lengthy legal battle for things like property damage, nuisance and trespass.

Or you might have to take your tenant to court to repossess the property or recover rent arrears.

  Landlord’s expenses insurance can help to cover your costs should this happen.

Contents insuranceLandlord’s contents insurance is another vital insurance policy that you should protect yourself with.

If you have furnished a property then this can protect you against the theft of those items you have provided.

This does not cover your tenants own personal belongings however.

Loss of rent insuranceIf there is a disaster and your property is badly damaged then you might not be able to rent it out, meaning your personal income could be drastically reduced.

Loss of rent insurance can help to replace this money, which could be especially important if you have taken out a mortgage to meet the costs of the property and may help you from falling behind with your repayments.

Home emergency insuranceFor heating, plumbing or electrical problems, home emergency insurance can go some way to protecting you.

  If for example, your tenant calls you to inform you that their boiler has broken down then you have a responsibility to have it fixed – having insurance in place for this could save you from a costly bill.

It might also cover you for things like drainage problems, roof damage and burst pipes.

Liability insuranceLandlord’s liability insurance can help protect you against accidents that happen on your property.

For example, if a roofing tile falls off and injures your tenant or a visitor to your property, or damages your tenant’s property or belongings, it can protect you against damages awarded to the claimant and any legal costs.

Buying to let can be a fantastic way to invest your money and grow your income but it is important that you are well prepared.

For more tips and advice on buying to let take a look at our guide.

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