Rushbrook and Rathbone, have today launched the first all-in-one insurance product for landlords
New all-in-one Property Protect launches ahead of Tenant Fee Ban Landlords can now protect themselves from risks of renting …and tenants don’t need a deposit.
The first all-in-one property protection for landlords launches ahead of Tenant Fee Ban
Rushbrook & Rathbone launches all-in-one Property Protect, the first of its kind for landlords
Property Management firm, Rushbrook and Rathbone, have today launched the first all-in-one insurance product for landlords helping to mitigate the growing risks of renting and anticipated repercussions of next year’s ban on tenant fees. Providing a solution to a major change in the way the industry operates, it is currently the only all-in-one product available and most cost-effective way for landlords to fully protect their investments.
Combining protection against four key risks of renting, Property
Combining protection against four key risks of renting, Property Protect enables landlords to safeguard their properties and rental income, as well as negating the need to take a deposit from tenants, covering landlords through deposit replacement insurance. This subsequently makes renting more affordable for tenants.
When the Tenant Fee Ban comes into effect, it will be illegal for landlords, or their letting agents, to charge tenants for referencing, inventories, or any other administration costs associated with renting. At present, one of the key risks to a landlord of letting a property is taking on a rogue tenant, which can subsequently lead to rental arrears and associated legal costs, or the possibility of damage to their property.
While all of these risks can be lessened by carrying out thorough due diligence in the form of referencing, taking a tenancy deposit and having comprehensive landlord insurance in place, many landlords are already being forced to cut corners following new tax restrictions which are squeezing profits. “There is a concern that when landlords can no longer ask tenants to cover their own referencing, some landlords may be tempted to do it themselves or simply not bother at all” says Roma Shama, Head of Product and Business Development at Rushbrook & Rathbone.
Assessing the current and future issues in the private rented sector, such as where responsibility will lie for referencing and deposits, Rushbrook & Rathbone have taken eighteen months to develop an insurance-based solution which is not available as a combined package anywhere else. It not only makes it easier and more cost effective for landlords to protect their investment, but also makes them more appealing to tenants.
All-in-one Property Protect includes comprehensive tenant referencing
All-in-one Property Protect includes comprehensive tenant referencing including on-going monitoring of tenants’ credit record, rent and legal protection (up to £8000 pcm and £75,000 legal assistance), property damage protection (up to £10,000) and no deposit protection.
Will be very appealing to a lot of tenants
The cover means that landlords can allow tenants to move in without paying a deposit, which is currently one of the biggest affordability issues for tenants. The package, which also pre-empts potential future changes to the way deposits are protected, will cover up to the value of six weeks’ rent for any breach of tenancy that has resulted in a loss to the landlord, covering everything a traditional deposit would cover. “We believe this will be very appealing to a lot of tenants, but crucially there is no risk to the landlord. Packaging the four most important protection elements together significantly reduces moving in costs for landlords and tenants, meaning tenants can move in more quickly and landlords can reduce void periods.
We also hope it offers an attractive proposition to those professional and responsible landlords who don’t want to cut corners” concludes Roma.
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