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What Is Not Covered Under Your Landlords Insurance Policy

Landlords, this is what is not covered under your insurance policy.

Landlords Insurance checklist:

  • Contents Insurance
  • Building’s Insurance
  • Accidental Damage / Malicious Damage Cover
  • Legal Expenses & Rent Guarantee

Brilliant, you’ve got them all, you’ve read them all through thoroughly? You know exactly what you are and aren’t covered for…? Are you sure?

We know how time consuming it can be to read ALL your policy documentation, and we have first hand experience of speaking to our clients when a claim is made only for the client (Landlord) to find that actually what they are claiming for isn’t covered! So here it is, a guide designed for landlords so you know what is NOT included in standard cover.

Contents Insurance:

‘Contents insurance is insurance that pays for damage to, or loss of, an individual’s personal possessions while they are located within that individual’s home. Some contents insurance policies also provide restricted cover for personal possessions temporarily taken away from the home by the policyholder’

Usually NOT covered:

  • Damage or theft of garden and outbuilding contents (e.g tools)
  • Damage or theft of contents left in any communal areas
  • Some standard policies will not cover replacement locks if the keys are stolen

Note: as a Landlord it is not your responsibility to cover any of the contents a tenant brings into the property – a policy to cover their goods will need to be taken out by the tenant.

Buildings Insurance:

‘This is a policy which covers damage to the structure of your home such as the walls, roof and floors. It usually covers damage to fixtures and fittings too. So if you’ve got a fitted kitchen or bathroom, your insurance is likely to pay for any repairs you need’

NEVER covered:

  • Gradual deterioration over time (i.e long-term leak that spreads to floorboards, rotting the floor)
  • General ‘wear & tear’ (i.e. damage that naturally occurs over time, e.g. damp or rot)

Usually NOT covered:

  • Damage to outbuildings (garages/sheds) caused by extreme weather conditions or frost
  • Damage to any external property features i.e fences, hedges, pergolas
  • If your property is damaged due to illegal use i.e your tenant installs drug making equipment and your property is damaged in some way.
  • Damage caused by ‘exposed’ water tanks, or pipes that haven’t been lagged (insulated)

Accidental Damage Cover:

‘Accidental damage cover is usually sold as an optional add-on to standard household insurance policies. Insurers often say it is designed to insure the policyholder’s possessions against damage caused by acts of negligence – for example, spillages and breakages in the home’.

This is NOT usually covered in standard policies – it is important to note that ‘malicious damage’ is covered under accidental damage cover, at Glowsure we off malicious damage as standard but you must ensure we have a copy of the following documentation to validate the quote:

  • Copy of tenancy agreement
  • Copy of reference checks

Legal Expenses & Rent Guarantee:

‘Legal expenses is to cover any court costs should you have to take legal action against a tenant(s). Rent guarantee is to cover unpaid rent’.

Double check your legal expenses and rent guarantee cover, you may want to add the following if they are excluded from your standard policy:

  • Legal costs for eviction of squatters
  • ‘Grace-period’ for once you have the property back in your possession and are looking for a new tenant

This is one that you really should check…

As standard your cover should include Property Owners Liability Insurance, if anyone is injured or their possessions are damaged on your property you will require property owners liability insurance to cover incurred costs.

*The policy should cover any legal fees and/or damages which you incur as a result of the incident.

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