Lately I’ve had a lot of enquiries for Landlord Insurance, where the client is just about to buy their first buy to let property.
Many of the people I’ve spoken to weren’t sure what cover they needed or what policy to buy.
What to consider when insuring your first buy to let property
Building sum insured – if you need to insure the building, find out what the correct rebuild cost is. If you’ve had a survey on the property it may well include this information
Rental income – get an idea for what your monthly rental income is likely to be once the property is let. Whilst some Landlord Insurance policies give you a more than adequate amount of cover, some will require you to specify how much cover you want.
Find out the construction – the Insurers will want to know what the property is made of. If it’s considered to be “non-standard construction”, you’ll need an insurer that will accommodate this.
What type of tenant will you have? – the insurers will want to know what kind of tenant will live at your property, and will be interested to know whether they will be working professionals, benefit recipients or otherwise.
Will the property be empty for a period of time? – one particular client was buying a property that would be empty at first, then he planned to find a tenant.
I organised a Landlord Insurance policy that covered him despite the property being unoccupied, then when he gets a tenant, whether they’re working professionals, DSS recipients or otherwise, we will simply adjust his policy accordingly to make sure he remains covered properly.
This means he gets:
- Buildings cover
- Contents cover
- Cover for any interruption to the rental income if the property is damaged
- Property Owners Liability cover
- Legal Expenses cover
If you’re planning to buy a property to rent out, contact us to ensure your Landlord Insurance meets your individual needs.
Evans Insurance Brokers – a specialist Property Insurance Broker