We consider it imperative that landlords and tenants understand whose responsibility it is to have insurance to make sure that both parties are protected against loss. Below is a general guideline for landlords and tenants.

The most important factor to remember when selecting insurance is to inform your insurance company that the property is a rental property.

Landlord
The landlord must have insurance for the property, that is the physical buildings, section etc, against fire, storm, flood, damage from burglary etc, if they want it protected against loss. For these types of policies it is imperative that you advise the insurance company that the property is tenanted to ensure coverage. These policies often cover chattels, e.g. carpets and curtains, which is preferable, however this should be clearly defined and clarified with your chosen insurer.

It is also often recommended that landlords take some form of Property and Income Protection insurance. This is an additional insurance taken out by a landlord to cover for:

• Loss of rents due to abandonment
• Loss of rents due to eviction
• Malicious damage/theft by tenants
• Rent recovering whilst malicious damage is being repaired