Insurance generally tends to look more appealing in difficult times - as many of us look for a safety net in case the worst should happen. And this probably applies to landlord insurance just as much as any other type. So this month we look at what products are available to help in the landlord insurance market and what cover trends are emerging at the moment.
To start with, let us consider what landlord insurance actually covers: This has traditionally been one of the snags of this type of insurance as individual policies can vary considerably, covering different risks or offering different levels of cover for each. So, although it is common to approach these matters on a get-what-you-pay-for basis this isnt always the case. Its important for landlords to scrutinise exactly what every different policy includes.
As a minimum landlords would look for buildings cover of course. But its important to check exactly what each insurers policy actually covers. In an age of what seems like extreme weather conditions, straightforward buildings cover may not always provide adequate cover for frost, water or flood damage. While, for example, weather damage might be defined as wear and tear by others.
Some landlords may be also be interested in cover for loss of rental income, or for providing alternative accommodation to tenants if a property becomes uninhabitable due to an insured risk, such as a fire or flood. Its important to note that if the risk itself is not covered by the policy then most likely the consequential loss isnt either.