How do I insure multiple rental properties?
With multi-property landlord rental property insurance, it is easier to manage and is likely to be cheaper.
Some insurers do offer Landlord insurance policies that are one policy that covers all your rental properties. You will be able to choose the levels of cover you require that best suits your need.
Public liability insurance is worth considering when renting property. Public liability insurance can be added to the building’s insurance.
If you are a landlord with multiple properties, you can insure up to 10 properties on one insurance policy. If you need to insure more, contact the broker.
With other things to concentrate on, what you don’t want to worry about is arranging different policies for each property you let.
The British Landlords Association appointed an insurance broker specialising in multi-property landlord insurance. This allows you to insure all your properties – both residential and commercial – on one single policy.
What to consider when insuring multiple properties?
- Contents Insurance
- Accidental damage
- Valuable items
- Away from home cover
- Alternative tenant accommodation
- Legal fees
- Rent loss
- Boiler breakdown
Can I insure 2 homes?
Yes, you can – if you only have a residential property, this can be covered with residential property owners’ insurance.
In addition, the BLA broker may be able to provide cover from a single buy-to-let property to an extensive portfolio – all under one single policy.
What is the best insurance company for landlord insurance?
Cheap landlord insurance quotes can be obtained online. Once you have the cheapest landlord insurance quote, contact the BLA broker to see what they offer you.
Unlike most online insurers, the BLA appointed insurer have consultants so you can ring them to go through various options, your requirements, and any area of concern.
The best way to get the right landlord insurance is to determine the type of insurance you need and talk to the BLA broker.
They will beat any renewal quote. Like for like policy, the BLA appointed broker is likely to be the most competitive.
Is multiple property insurance expensive?
Although some landlords seem to think that a landlord insurance block policy for multiple properties is costly, this is not correct. Owning multiple properties and having your policy with one company is often cheaper.
Property Owner Liability Cover (Public Liability Insurance)
Property Owners’ Liability, also sometimes known as Public Liability Insurance, is especially important when letting property. The tenant or a visitor may claim if they injure themselves and may try to hold you liable.
Many no win, no fee lawyers are more than happy to take on injury claims. For this reason, it is vital landlords consider public liability insurance.
Taking public liability insurance with buildings insurance can be very economical. As some policies may have an element of public liability cover already included. You may wish to increase the level of cover should you wish.
If required, nearly all insurance providers will provide landlords with public liability, contents, and malicious damage insurance.
Why would the landlord be responsible?
As the building owner, your responsibility is to ensure your property is well maintained and in a safe condition.
When taking the insurance cover, consider the occupants of the building and the surrounding properties.
If a tenant or a visitor is injured while on your property, the right level of cover will help you guard against a costly claim. Public and Property Owner’s Liability cover is generally up to £10m.
Some property owners’ liability cover may combine employers’ liability and public liability cover for property owners.
This protects against claims made by employees or members of the public for alleged injuries.
For example, in the event of injury to a tenant or a visitor to your property. Your property owners’ liability policy can be called upon.
Risk of injury or property damage
The chances of rare accidents are also multiplied with multiple properties. If someone is injured on your property, then you risk being sued for damages.
What is covered under a landlord insurance policy?
- Employer’s Liability Insurance – If you employ staff, it’s a legal requirement to take out the right Employer’s Liability Cover level. If you employ someone to work on your property (like a gardener or a handyman).
In that case, you’re required by law to have employers’ liability cover, which protects you against compensation claims for injury, illness, or disease.
- Subsidence, Landslip & Heave Cover
- Landlord Boiler Cover (excludes boiler servicing), with Buildings Cover.
- Some insurers will cover all risks of material loss or damage to buildings and/or contents.
- Accidental damage to the building or its fixtures and fittings
- Legal Expenses covered in proceedings, such as contract disputes, debt recovery and evicting trespassers.
- Costs covered for rehousing a tenant(s) following insured damage to the property.
When a tenant or someone else makes a claim against your business. This insurance can cover the costs that you are held liable for. This may include legal fees and expenses, as well as any compensation.
- Loss of Rent cover – Your cash flow is protected if, after an insured event such as a fire or flood your tenants stop paying rent or have to move out.
If your tenants do have to move out. The costs of arranging alternative accommodation on their behalf are also covered.
Read the inclusion and mainly the Exclusion
It is essential to read the inclusions and exclusions when considering the right policy. It is not just the cost of the insurance policy. What is covered in an eventuality, you have to make a claim.
So read the details and conditions of the policy. The most essential element you must read and consider is the inclusion and exclusion and any excess you may have to pay should you need to claim.
Most property investors will look at the cost and fail to scrutinise what is covered, mainly the exclusion and excess section.
The British Landlords Association is a free national landlords association for commercial & residential landlords. Why not join us today for free!
Author: Peter Ross Date: 21st of June 2021
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