DEMAND FOR INSURANCE DOUBLES

Thanks to the launch of its new Tenants Contents Insurance + product and
increased demand, HomeLet has managed to double the number of policies sold
in just six months.

What’s more, since 2006 HomeLet has referenced over 1 million tenants,
proving it is still the market-leading provider of specialist insurance
products and services to the UK lettings industry.

In September 2009 HomeLet sold over double the amount of tenants contents
insurance policies when compared to January 2009, with an increase of 121
per cent.

This increase indicates that tenants, who have tended to overlook buying
tenants contents insurance in the past, are seeing renting as a more
long-term commitment rather than a temporary stop gap.

Also, since the onset of the recession and the resulting increase in the
cost of living and rise in unemployment, the number of burglaries has also
gone up. Tenants, who are feeling the pinch along with everyone else, have
become more aware of the value of their possessions and the cost of
replacing them.

landlord insurance - specialist products - discounted

In June HomeLet launched Tenants Contents Insurance + which is designed
specifically to protect tenants against the potential risks of renting a
property.

As well as being competitively priced, the new product still provides
specialist cover that protects the tenant’s deposit by providing cover for
accidental damage to the landlord’s contents, building, fixtures and
fittings up to the value of £2,500.

Tenants Contents Insurance + also covers the policyholder and two additional
tenants who are named on the tenancy agreement, as long as they’re employed,
self employed or retired. This means that one policy can cover three tenants
saving money and making it ideal for sharers.

HomeLet’s Managing Director John Boyle said: “HomeLet has been providing
tenants contents insurance for over a decade and we’re constantly improving
the products that we provide to our customers to ensure that we stay ahead
of the market.

“We are delighted to have achieved a 121 per cent increase between January
and September 2009 and this is testament to our commitment to providing
comprehensive cover at competitive prices.”

New rent guarantee insurance launched

The National Landlords Association has launched ‘NLA rent guarantee insurance', an insurance package for landlords and helpline support specifically designed for NLA members who face increasing pressure from tenancy disputes and rental arrears.

Rent guarantee insurance - best rates

RGI has been developed for the NLA by specialist legal expenses provider Arc Legal Assistance through the NLA's insurance broker Hamilton Fraser Insurance.

According to the NLA, 1 in 3 landlords have tenants in rental arrears.

Paul Berwick, head of marketing, NLA said: "The level of these arrears is heavily influenced by the current economic climate. Many of our members are landlords with large property portfolios who are likely to face greater exposure to rent arrears."

Richard Finan, director of Arc Legal added: "This is a clear indication of how this sector of the landlord market has adapted its business model to provide more support and assistance in difficult financial times."

RGI covers six and twelve month tenancies and has been developed to complement the NLA's new tenant referencing service.

NLA members also have access to a specialist 24/7 technical legal helpline provided by Arc Legal's panel solicitors which sits alongside the NLA's in-house advice line for members.

This landlord insurance package extends Arc Legal's relationship with the NLA, which also provides professional fees and tenancy deposit protection cover to mydeposits, a joint venture between Hamilton Fraser and the NLA.

NLA launches rent guarantee insurance

Research from the National Landlords’ Association (NLA) indicates that almost three quarters of private residential landlords have experienced rent arrears, with 43% of this group reporting arrears being incurred in the last 12 months.

To offset this risk, the NLA has launched rent guarantee insurance with a policy that includes legal expenses cover and a dedicated 24-hour advisory service.

The new offering is available to all UK residential property landlords.

NLA chairman, David Salusbury, comments: “Landlords may not realise they can protect themselves against rental arrears, but our research clearly shows there is a need to safeguard your rental income.”

He adds: “Unfortunately we aren’t out the woods with the economy just yet, and thanks to redundancy and unemployment some tenants are struggling to pay their rent.”

'No deposit insurance' brings benefits for landlords and tenants

Paragon Landlord Insurance is promoting the “no deposit insurance", where a tenant pays a one-off premium for an insurance policy, instead of a large value monetary rental deposit.

This can help tenants such as student tenants who are struggling to access funds to pay for traditional, up front cash deposits combined with rents in advance.

This specialist landlord insurance facility enables a landlord to claim on the insurance policy if they need to claim back any losses that would usually of been paid out from the monies that formed a traditional rental deposit.

Quotes from landlord insurance brokers

Landlords should explain the insurance situation for students who are first time tenants

Landlords need to realise that many students are ignorant to the extent that a landlords insurance policy provides cover to them as tenants.

According to landlord insurance provider, Direct Line, most students wrongly presume that a landlords insurance will provide cover for them in the case of burglary.

Direct Line report that many tenants are shocked when they realise that their landlords insurance provides no cover for their belongings as tenants.

The landlord insurance broker recommends that landlords point this our top new student tenants, especially those who are renting for the first time.

Pet insurance suitable for landlord and tenants

Petpals Direct, the pet insurance specialist, has recently launched a new pet insurance policy that could make life easier for estate agents and letting agents across the UK.

Perfect for smoothing deal-breaking situations where a landlord is not as keen on pets as the potential tenant, TenantCare Cat and TenantCare Dog insurance from Petpals Direct can be taken out by the pet-owner to insure against property damage the pet may cause to the rented accommodation.

Designed specifically for tenants living with cats or dogs, it is the only product of its kind on the market. Not only does it insure against property damage caused by the pet, it also includes cover for common types of accident and illness.

With prices starting from just £5.17 per month for cat insurance, based on a six month old moggy living in Derby, or from £8.42 per month for dogs, based on a six month old Jack Russell living in Blackburn, the insurance offers a cost-effective way for tenants to secure the house of their dreams and cover expensive vet bills.

Tenant pet insurance from Petpals Direct offers peace of mind to tenants who are familiar with the high costs of moving. The policy allows tenants to claim £700 if there is damage caused by the pet during the first 36 months of occupancy, and £500 thereafter.

In addition to the property damage cover, there is also £1500 of vet fee cover for cats in a number of specific illness and accident categories.

These include: infectious diseases, cancer, feline lower urinary tract disease, feline asthma, diabetes mellitus, foreign body ingestion, bone fractures, defined poison ingestion, feline high-rise syndrome, bite wounds and bite wound abscesses, and burns. There is immediate cover with no waiting period, and no upper age limit. So, feline friends of all ages are welcome.

For dog insurance the limit for vet fees is £2000 per illness and accident category, which include: infectious diseases, cancer, digestive aliments, ear problems, heart disease, foreign body ingestion, bone fractures, defined poison ingestion, allergic reaction to insect bites, bite wounds and lacerations, burns and motor vehicle accidents. Again, there is immediate cover with no waiting period, and no upper age limit.

For quotations, terms and conditions, and full details of TenantCare Cat and TenantCare Dog, agents, tenants and landlords can contact Petpals Direct on 0800 328 9847 from 8am to 6pm Monday to Friday, by email enquiries@petpalsdirect.com, or at http://www.petpalsdirect.co.uk/

Landlords cancelling buy-to-let insurance to cut costs

The buy to let property market continues to suffer as landlords find their rental income and cash flow are squeezed. But cancelling landlords insurance may not be a sensible move, even if it does appear to save money.

Landlords insuranceResearch from Direct Line for Business shows that landlords are very worried about the impact the recession is having on their buy to let properties.

With 30% worrying about whether they will receive the agreed rental income from tenants and over 20% losing sleep over their cash flow it’s a difficult time.

But cancelling landlords insurance policies to save money may not be a good move.

Worryingly nearly 10% of landlords are though doing exactly that, cancelling their buy to let insurance to save money.

Not only does this leave them in a risky position if something should go wrong, it equally affects their tenants.

Head of Direct Line for Business, Kate Syred, said ‘The Government’s recent recommendation to protect tenants in the event of their rental home being repossessed is a step in the right direction.

However with high numbers of landlords cancelling insurance policies to save money, if something were to go wrong, tenants may still find themselves without a roof over their heads.’

As a landlord, ensuring you have adequate landlords insurance, covering yourself as the landlord, the tenant and the property is crucial.

The bright spot in all this doom and gloom may be that rents are finally starting to rise after a period of falling rents. The Rentindex reports that rents have risen 2.2% over the last 6 months despite being 2% down over the year.

Save on landlord insurance - special discounted rates.

New site for landlords letting a property

A new site for letting a property has been launched, lettingaproperty.com ( the clues in the title ), helps landlords to find tenants by uploading adverts to Rightmove and the other major letting portals.

Priced at £29.95 the site offers a simple solution to getting a rental advert in front of the maximum number of prospective tenants.

10 Reasons to buy CIA landlord insurance

10 Reasons to Buy CIA Let Property Insurance

CIA Let Property Insurance will easily and quickly compare market rates from the UK's leading let property insurance providers.

Whether you own one property or have an extensive portfolio CIA Let Property Insurance can offer the most competitive policy with the most comprehensive covers available.

CIA Let property is a dedicated specialist providing landlords and property owners/agents with a full insurance solution and service.

1. One month challenge

If you can find the same insurance cover for a better rate elsewhere in the market within 28 days of purchase, CIA will either match the rate or refund the policy in full.
2. Same rate across all POSTCODES

We apply one price across all postcodes so our competitive and simple pricing structure makes decision making easy. (On selected policies)
3. All risks cover

‘’All risks’’ cover including subsidence, subject to certain exclusions.
4. Loss of Rent

CIA Insurance can provide loss of rent or alternative accommodation expenses as a result of damage - covered by the policy up to 30% of the Building Sum Insured.
5. Accidental damage

Accidental damage to buildings included automatically. (on selected policies)
6. Terrorism cover

Terrorism cover to the Building Sum Insured will be automatically included.
7. Employers liability

The policy automatically includes Employers Liability to £10m
8. Public liability for property owners

Property Owners Liability included to £5m
9. Unoccupied Tenants

A CIA Insurance policy allows unoccupied periods of up to 90 days without notification to us. (On selected policies subject to compliance with applicable endorsement)
10. 15 Years Experience

CIA Insurance has 15 years of experience in the insurance industry and is one of the UK’s leading brokers

One in three rent their home without landlord insurance

One in three rent their home without Landlord insurance

Home repair firm Homeserve says one landlord in three has not told their household insurer they are renting the property, the Express reports.

Mike Bowman, head of insurer More Than Business: “Standard home insurance policies aren’t designed for landlords and if you rent out your home your policy may become void, leaving you without cover.”

“You are responsible for the health and safety of your tenants, and they could claim compensation if anything happens to them in your property. Landlord insurance protects you by including liability cover. We also offer 24-hour helplines for advice on legal, health and safety matters,” Bowman says.

Advice on letting to student from landlord insurance broker

As many of the UK’s youngsters make plans to attend university, many Landlords will be planning to provide for the increase in demand in student accommodation this year.

However whilst this may seem like a great opportunity in the Buy-To-Let market, Landlords must be aware that renting to students can be more complex and involve more regulations than a standard Buy-To-Let.

Leaseguard Ltd, provider of Specialist Insurance Products and Services for the Buy-To-Let Industry, has provided some top tips to consider when entering the student accommodation market.

House of Multiple Occupancy (HMO)
If the property has three or more habitable storeys and is occupied by 5 or more students you will be required to obtain an HMO licence from your local authority. In order to obtain the licence you will be required to meet certain fire and accommodation standards that can be expensive to comply with.

Student Furnishings
If you are hoping to attract the student market to your property it is important that you provide them with student essentials. In addition to standard tenant essentials such as refrigerator and washing machine you may also want to consider creating a study space for student and providing an internet connection which could be a huge pull when advertising your property.

Referencing Student Tenants
As with every tenant you will need to ensure that they can pay the monthly rent. However it is not very likely that the student will have much work history or even an income other than student loans. Even so, it is still worth credit checking them to ensure that they have a good credit rating, have not had any CCJ’s made against them and to confirm their previous addresses.

The best option is to ask the student to provide a Guarantor, someone who will be responsible for the rent should the student not be able to pay. You must also ask the Guarantor to sign the Tenancy Agreement meaning they will be jointly and severally liable. You should consider referencing the Guarantor with a full credit check, and an employer’s or pension provider reference. This may enable you to purchase Rent Guarantee with Legal Expenses to protect you if rent is unpaid or you need to take legal action against the tenant or their guarantor.

Safety Checks & Certification
Landlords have a legal obligation to ensure that all gas appliances are inspected annually by a Gas Safe Register member and that a report is issued to tenant within 28 days of each check.

You are also obliged to check all electricity appliances and ensure that all furnishings are fire resistant.

From this year you are obliged to make available to new tenants Energy Performance Certificates for each property.

Protect your Tenants Deposits
You now also have a legal obligation to protect your tenants’ deposits under the terms of the Tenancy Deposit Scheme. To avoid incurring a fine, ensure that you inform your tenants of the following information:

∑ Which scheme you are using.
∑ How the tenant can apply to have their deposit returned at the end of the tenancy agreement.
∑ Explain the purpose of the deposit.
∑ Procedures if there is a dispute.

Insuring your Student Rental Property
Insurance can also become an issue. Finding the right Landlords Insurance is essential as not all Insurance Companies will provide cover where tenants are students, or may even impose a higher excess or premium for this type of rental. Chris Knight, General Manager at Leaseguard says “It is also vitally important to have Public Liability Cover which is usually included with the Buildings Insurance Policy. If you have included items such as beds, televisions or have standalone white goods for example refrigerators and cookers etc within the property it is worth considering adding Contents Insurance to your policy”.

Tenants Contents
First time students may not be aware that they are responsible for insuring their own personal belongings such as laptops, mobile ‘phones, clothes, books etc. Chris Knight says “Although some students may be covered under their parent’s Contents Insurance, it is always worthwhile to make your tenants aware that you do not protect their belongings. Some landlords insist on receiving a copy of the Insurance Schedule from each tenant, and in some instances landlords or their Letting Agents insist that the Tenants’ Insurance includes some cover for Tenant’s Liability that provides some protection if the tenant damages the landlords buildings or contents”.

Leaseguard’s Services & Products
Leaseguard Ltd provides a specialist Tenant and Guarantor Referencing Service as well as Landlord Insurance for Buildings, Contents and Rent Guarantee. We also provide Tenant’s Contents Insurance. All these policies provide cover in respect of students.

American Landlord Shares his Landlord Insurance Tips

One American landlord shares his thoughts on cutting his landlord insurance premiums.

He advises improving fire safety at a renatl property and upgrading security to bring down his landlord insurance premiums.

Read his tips in full here


Portfolio Landlord Insurance - 5% Price Beat Guarantee

Portfolio landlord insurance scheme launched

Portfolio landlords are set to benefit from a new GAURANTEED price beating landlord insurance policy launched by Property Hawk in association with Alan Boswell.

The landlord insurance policy guarantees to save a landlord a minimum of 5% on their comparible landlord insurance costs.

For landlords with 15 or more properties or £2m or more cover they can now look to start saving money on their landlord insurance today.

Landlord insurance broker offers FREE contents insurance for landlords

Mortgages are harder to get these days and there are an increasing number of people turning to the rental market for housing which is good news for landlords. However, landlords in the furnished sector often find it difficult to get contents cover for their properties. Now Adrian Flux's landlord division can include free contents cover with its landlord's building insurance to offer a comprehensive package.

"By including free contents cover with the buildings insurance we are able to offer landlords an extremely cost-effective policy," says Julie Carter of Flux. "It also cuts down on the paperwork and hassle for landlords when it comes to sorting insurance."

Flux's scheme offers landlords comprehensive cover for the building itself. The free contents insurance is designed for furniture and fittings that landlords supply with furnished lets, including beds, curtains, sofas and kitchen equipment, and some of Flux's policies offer cover up to £10,000 in value.

The free cover is only for the landlord's fixtures and fittings and is not designed to cover a tenant's personal property items.

Adrian Flux Insurance Services aims to offer cheaper property insurance and has a range of policies for landlords and buy to let, including specialist schemes for hard to insure properties such as thatched homes, flat roofs, underpinned buildings and those at risk of flooding. For information call the Flux household insurance hotline on 08700 772266, email household@adrianflux.co.uk or visit the website, www.adrianflux.co.uk, and click on the relevant button under the 'Home Insurance' section.

Beginers guide to landlord insurance

Are you new to being a landlord? Have you recently invested in a buy-to-let property? Or perhaps you have had the luck to inherit a property and now you plan to find tenants for it.


Whichever category you fall into you will need to sort yourself out some landlord insurance.


Landlord insurance is essential to protect your property asset and apart from understanding what type of cover you should expect from your landlord insurance policy you will also want to find a cheap landlord insurance provider if possible. Choosing a landlord insurance by implication this means that your property has or is about to be rented out. This policy is to protect your asset and it is advisable to foresee all the possible worst case scenarios when investing in your policy. Sometimes landlord insurance is also described as buy-to-let insurance.

The first type of landlord insurance policy is normally based on a standard building insurance cover. A landlord will also find that there a number of additional levels of cover which can come under the umbrella term of landlord insurance.

These include:
1. landlord building insurance
2. landlord contents insurance
3. landlord legal expenses insurance
4. rent guarantee insurance
5. emergency assistance cover

Before letting out your property you will need to comply with the obligations of a landlord buy-to -let insurance, so make sure you know and adhere to any restrictions within the landlord insurance policy. Under the Housing Act 1988 you as the landlord are responsible for the upkeep of the structural aspects of the building, the installations and services provided. This includes water, gas, electricity, sanitation, water heating systems etc. When choosing your landlord insurance policy you will see that there are three general categories of tenant which are:

1. Professional/working/retired
2. Students
3. DSS

The kind of landlord insuranc cover a landlord should be looking for from a reputable landlord insurance broker should include:

1. All types of tenants to be accepted
2. Property owners liablity of up to as much as 5 million
3. Full accidental damage included
4. Terrorism cover also included
5. Loss of rent cover to be included
6. Employers liability should be included.

The kind of damages included in cover would be fire, smoke, lightening, wind, explosions, damage from vehicles or aircrafts. Landlords should insure that they also protect themselves against any personal liability that they may liable for thereby protecting them as the landlord from lawsuits if an individual is injured on your property. This is very important when you have tenants and even though they may seem quiet, they may not be. But one way or the other accidents can happen. Make sure you as the landlord understand all the implications before choosing and read the details in the landlord insurance policy a few times in order to give yourself the chance to spot any missing areas before purchasing the landlord insurance policy.

Landlords are exposing themselves to unecessary risk according to Landlord Insurance Company.

Residential landlords are leaving themselves at risk by failing to take out adequate landlord insurance cover for their letting business according to research from Redbrick Landlords Insurance.

Redbrick, a division of The Paragon Group of Companies, found that only 67% of landlords have specialist buildings cover for their buy-to-let investments, while only 12% have combined legal expenses and rent guarantee insurance, even though 71% of landlords expect tenant arrears to increase in 2009.

Tony Armitage, Redbrick Landlords Insurance’s director, said: “Landlords need to carefully consider their insurance needs and ensure that they are properly protected. It is amazing that only two thirds of landlords have specialist buildings insurance, with the other third presumably having a standard household policy or, worryingly, no insurance at all.

“In addition, tenant arrears are on the increase and landlords can easily cover themselves for rent arrears through a rent guarantee insurance product, which also includes the legal expenses involved in evicting the tenant. There appears to be a lack of awareness about the availability of these products and in the current environment landlords should be doing all they can to protect themselves.

“Buy-to-let landlords have sophisticated insurance requirements for which a typical household policy is often unsuitable. The biggest irony is that some landlords are actually paying through the nose for potentially unsuitable cover.”

LOCAL HOUSING ALLOWANCE TENANTS CAUSE ARREARS CONCERNS

Landlords concerned about tenants claiming Local Housing Allowance and not paying their rent can protect their monthly income by taking out Rent Guarantee insurance.

Following reports that some landlords whose tenants claim housing benefit are finding it increasingly difficult to collect money that’s owed to them John Boyle, Managing Director of HomeLet, is encouraging landlords to seriously consider insurance.

In April 2008 the government changed the way it made payments to private landlords and instead of rent being paid directly to them to cover housing costs, it now goes straight to the tenant.

The Local Housing Allowance (LHA) was introduced so people could manage their own lives and their budgets.

However, according to research published by the National Landlords Association (NLA), a year after the new system was introduced many tenants are failing to pass on these payments to landlords which is causing major problems. In the most serious cases, landlords are facing repossession because rent money paid by the government to the tenant is never passed on to the landlord.

The research also reveals that 52 per cent of landlords surveyed have decided they would not let, or be less likely to let, to LHA tenants. A further 43 per cent of those landlords who have already tried the new system said they would now be leaving this failing market because of increased uncertainty about rent payments.

According to John, HomeLet can help mitigate the risks associated with renting a property to tenants who claim LHA.

“Under the current system landlords have to wait for eight weeks of rental arrears before the tenant is deemed unable to manage their own affairs and the rent is then paid to them directly,” he said.

“However, in reality it can be as long as three months before the landlord receives their first payment as the benefit is paid monthly in arrears. If the landlord chooses to try and reclaim the lost money, they must pursue the tenant privately through the courts.

“By letting their property through an approved HomeLet agent, landlords can safeguard their monthly income. HomeLet’s market-leading products and services cover rental payments for up to 12 months, should a tenant fall into arrears, and there are no restrictions on the types of tenants.*

“Our Prestige Rent Guarantee for example, not only covers non-payment of rent but any breach of tenancy and all legal costs incurred in evicting the tenant up to a maximum of £50,000. HomeLet also has a specialist in-house Legal and Claims team who will handle the entire eviction process from obtaining vacant procession to recovering costs for damage to the property.

“Landlords renting their properties to tenants claiming housing benefit no longer have to worry about not receiving their rent or not being able to meet their mortgage payments.”

Landlord Insurance Division Launched By Paragon

The Paragon Group has created a new landlord insurance division called Redbrick Landlords Insurance.

The new landlord insurance division provides a range of specialist insurance products for landlords,including buildings and contents, legal expenses, rent guarantee and commercial property insurance.

Redbrick’s landlord insurance offering also provides a portfolio insurance product, which helps portfolio landlords to keep their insurance cover simple by taking out one insurance policy for their whole portfolio of properties.

Redbrick's Tony Armitage, commented "Through both its mortgage and insurance operations, Paragon has developed a detailed understanding of what professional landlords want and how they operate. We have a great insurance proposition for them and we are looking forward to extending this to the wider market for the first time.

"Being a residential landlord can be a stressful business, but ensuring you have adequate insurance from professionals who understand the market can make life much easier."

Landlords Face High Risk of Flood - Landlord Insurance Concerns

Landlord insurance provider Direct Line for Business is giving landlords free advice on the problems of flooding, whilst carrying out research on the impacts of flooding on small businesses.

Results show that in three regions more than a fifth of the business people surveyed had been affected by issues from flooding in the last year.

The areas were the North -East, East Midlands and the worst hit Wales, with a rate of 23 per cent of respondents affected by floods.

The national average was 11 per cent of respondents had been affected by flooding.

"Flooding poses an increasing threat to all businesses and householders, as last year's storms and severe weather have demonstrated," observes spokesperson Kate Syred.

Our advice is that landlord should take the risk of flood seriously and make sure they are fully covered with whichever landlord insurance policy they take out.

Sainsburys offer landlords a discount on their landlord insurance

Sainsbury's is feeling so sorry for landlords that it is giving a discount of 20% on landlords home insurance, plus 3,000 Nectar points.

The retail giant that now is a major player in the insurance industry believes that poor old landlords have seen a collective drop in value on their portfolios of £118.4 billion over the past year.

The landlord insurance policy covers landlords against loss of rental income of up to £20,000 and contents cover of up to £40,000. It also offers unlimited buildings cover.

Sainsbury's Finance commented that landlords had been suffering real difficulties in the economic crisis.

Improved rent guarantee insurance launched

Leaseguard are delighted to announce the launch of their improved ‘Rent Guarantee with Legal Expenses Plus’ policy with immediate effect.

The policy now provides a 6 month cover option and additional cover for Identity Theft at no extra cost.

Leaseguard has continued their successful partnership with DAS, Europe’s largest Legal Expenses Insurer, and created a policy which meets the demands of landlords and provides excellent value for money.

There is now the option for the cover to be taken on a reduced 6 month basis. The 6 month option allows up to 12 monthly payments of rent provided that the Insured Event occurs within the period of insurance. This provides wider cover in comparison to most of the products offered by our competitors.

The policy has also been upgraded to provide additional cover for Identity Theft and defending the insured’s legal rights in an appeal against their decision not to adapt their property following a request under various disability and housing acts. Identity Theft cover will provide assistance for the insured to restore their identity and credit status via a personal caseworker as well as covering communication, court attendance and legal costs incurred. This is especially appropriate when correspondence for the landlord is often sent to the property that they let rather than their home or correspondence address.

Whilst we obviously hope that the landlord does not experience any problems with payment of the rent, it is impossible to foresee the future. A change in circumstances for the tenant such as relationship break-down, illness or redundancy could all impact on their ability to meet their rental obligations. With a large percentage of today’s landlords still having financial obligations to their lender this could have very serious consequences for the unfortunate landlord.

If the landlord is unlucky enough to find themselves in a situation where rent arrears are incurred by the tenant they may find themselves not only out of pocket for the rental arrears but also facing a lengthy and costly legal battle. This would undoubtedly be a stressful and time consuming experience for the landlord which could be considerably reduced with the correct insurance cover.

In addition the policy offers the following benefits:

∑ £25,000 indemnity limit;
∑ Legal rights in trying to get possession of the property;
∑ Legal rights following physical damage to the property (amount in dispute must be more than £1,000);
∑ Legal rights for recovery of rent owed (one month’s rent excess applies);
∑ Hotel expenses up to £75 per day for a maximum of 30 days. This is payable whilst the insured tries to get a possession order for them to live in the property;
∑ Up to 50% of rent owed following vacant possession of the property provided that the property is available for re-letting for up to 2 months;
∑ Prosecution defence costs – to defend the insured’s legal rights if they are prosecuted in a criminal court following events arising from the letting of the property;
∑ 24 hour helpline services for Eurolaw Tax Advice, Tax Advice and Domestic Assistance;

This represents only a summary of the cover applicable. A full policy wording is available on request.

Rent Guarantee with Legal Expenses cover is relatively inexpensive to buy and the premium represents only a small percentage of the rental whilst minimising the risk and providing much need peace of mind. Premiums for the 12 month option are 2.6% of annual rent plus a £10 policy fee and Insurance Premium Tax, and the 6 months cover option starts at as little as £80.00 plus Insurance Premium Tax .

Leaseguard's Landlord Insurance team will be pleased to answer any queries landlords may have in relation to this.

Telephone 0845 3450315
E-mail – insurance@leaseguard.co.uk
Website – www.leaseguard.co.uk

£508 million in excessive property insurance premiums

Loyalty is not rewarded when it comes to property insurance.

Research shows that £508 million pounds a year are wasted by UK consumers who continue to pay excessive property insurance premiums.

By renewing their policies rather than shopping around for the best deal, home owners are throwing away an average of £180 each a year.

Read more in the Telegraph

Landlords insuring blocks of flats need specialist advice warn landlord insurance brokers

Specialist block of flats landlord insurance company Alan Boswell has warned landlords of insuring a block of apartments that they very often need specialist advice if they are going to avoid ending up with an inappropriate landlord insurance policy.

To help landlords they have given out tips on obtaining landlord block insurance to website Property Hawk.

New tenants insurance launched

Homelet the landlord and tenant insurance provider has launched a new tenant insurance policy that protects a landlords property up to the value of £2500 for contents, building and fixtures and fittings.

The new policy allows up to 3 tenants to share the same policy as long as they are all employed. This should provide a cost saving to many tenants who are looking at ways of saving money through the current down turn.

Landlord insurance product launched by legal expense provider

Independent legal expenses provider, MSL, has launched a revised landlords insurance product that offers a higher level of standard cover plus a range of upgrades.

MSL Landlord, is intended to enable landlords of residential and now commercial properties to find good quality cover at competitive premiums with a range of enhancements.

The rebranded product (formerly called KeyLet) has been extended to include commercial landlords and provides cover for up to £50,000 of legal costs, plus access to legal helplines and advice from the company’s own nationwide panel of experts.

Nick Garner, managing director at MSL Legal Expenses said: “Rapid market contraction has made life very difficult for professional landlords and buy-to-let investors. In the current climate, they are looking very closely at their costs and the effect on rental yields.

"Our new product is designed not only to provide a high level of cover, but also offer a degree of flexibility for policyholders by offering upgrades and enhancements to meet their specific needs. For brokers, we have made quoting, issuing the policy and ordering stationery far easier through our online quotation system called MSL Connect.”

MSL’s Landlord policy is underwritten by Financial and Legal Insurance Company.

How can I get a quote for landlord insurance?

Landlords looking to get landlord insurance actually have a number of different ways they can obtain their quote for landlord insurance.

Most landlord insurance brokers are more than happy to run through a quote for landlord insurance over the phone.

I was also surprised to find out that many landlord insurance brokers are more than happy to receive an emailed pro-forma on a landlords property details. This is particulalrly useful for a landlord with a large portfolio of buy-to-let properties as going through the details of each property when trying to get a quote will be very time consuming.

Increasingly landlord insurance brokers provide an immediate online quote. Simply Business allow a landlord to compare quotes from a number of insurance companies providing landlord insurance.

landlord insurance leaseholders responsibilities

I came across this recent question from a landlord who owns a leasehold property posted on a property blog.

"I own a leasehold flat above a commercial property, which is owned by the freeholder of the premises. Under the lease's terms the freeholder must insure the property; I am responsible for 50 per cent of the premium. This year I asked to see the policy and was shocked at the extent to which the freeholder had apparently undervalued the premises. The cost of rebuilding my flat alone exceeds the sum insured. What can I do?"

There are methods for a landlord to require that they have adequate landlord block insurance. The best way is to take the freeholder to the Leasehold Valuation Tribunalwho will be able to adjudicate on such matters.

A full answer was featured in the Times

"Where it is the landlord's obligation to insure, the Schedule to the Landlord and Tenant Act 1987 gives important rights to leaseholders. The leaseholder is entitled to ask for basic information about the insurance policy and the landlord must provide a summary of the policy within 21 days. Similarly, the leaseholder has the right to inspect the policy and any “associated documents” free of charge. If the landlord fails to comply, he commits a criminal offence and he can be fined up to £2,500. Where the leaseholder has to insure, there are even more extensive rights. The leaseholder is entitled to shop around for the most appropriate insurance policy. If the landlord insists on insurance being placed with a less appropriate insurer, the leaseholder can apply to the court or a Leasehold Valuation Tribunal requiring the landlord to nominate another insurer.

In your case, the obligation is on the landlord to insure, and you have a number of options. If the insurance policy does not satisfy the strict requirements of the lease, you can go to court for a declaration that the landlord has broken his obligations. A more practical option may be to apply to the Leasehold Valuation Tribunal to appoint a statutory manager of the property - and the manager can then be given the task of providing proper insurance cover. Failure to provide adequate insurance is specifically set out as a ground for the appointment of a statutory manager under the Landlord and Tenant Act 1987, and there are even provisions in that legislation for an emergency appointment in urgent cases.

Finally, you can object to paying an insurance rent or service charge on the ground that the premiums were not “reasonably incurred” under the Landlord and Tenant Act 1985."

The writer is a barrister at Tanfield Chambers. E-mail your questions to: brief.encounter@thetimes.co.uk

For further advise concerning residential leases a lanldord should contact the leasehold advisory service.

For more advice and the best rate on landlord block insurance landlords should get advice from suitably experience landlord insurance brokers.

Landlords advised to use a landlord insurance broker to obtain suitable landlord insurance cover

Some landlords make the mistake of thinking that they are covered by standard domestic buildings insurance for letting their property to tenants and that they do not need specialist landlord insurance.

Standard home insurance policy will often exclude cover for any property from which income is earned; and any claims made on such a policy will be rejected by the insurer. This means that many landlords and tenants are risking thousands of pounds of their personal possessions by not insuring themselves against accidents, bad weather or crime.

In the case of landlords who have a standard household policy, as well as not being covered for what they think they are, they may not be covered for accidental or malicious damage by tenants; loss of rent following an insured peril; landlord liability; or if their property is empty for more than 30 days.

Landlords are therefore advised to use a landlord insurance broker to ensure that they get the most suitable and cheapest landlord insurance for their property portfolio.

Landlords it pays to ask

Landlords if you ever needed any proof that its worth trying to negotiate with your landlord insurance broker, I've just found it.

My portfolio landlord insurance was up at the beginning of April. My existing landlord insurance broker Alan Boswell sent me my renewal quote. This was just under £1000 despite the discount of £104. Considerably more than last year which I managed to negotiate down to £850.

I thought I'd try a few insurance brokers before yielding to the inevitability of having to pay over the dosh.

Alternative quotes for one of my properties
I started by enquiring about the RIKY insurance scheme. This is because I remember seeing them quoting £1 per £1000 of cover. I thought if they could get near that I'd be well pleased. I phoned up and explained I wasn't a member of the scheme but wanted a quote. Eric of Cover Sure was very helpful. He took my details for just one of my properties. It always takes ages. A good 15 minutes. Then explained he was going to have to phone back with a quote as he was putting it out to the different brokers.

In the mean time I thought I'd try another landlord insurance broker to get the recommended 3 quotes before plumping for the best. Going to google I thought I go for one of the most popular landlord insurance websites. I elected for Endsleigh having recognised them from my student days. I proceeded to fill in their online form and was very impressed with it's simplicity and speed. From start to finish the quote for landlord insurance was not much more than 5 minutes and decidedly quicker than working through a quote with Eric on the phone.

The quote for my landlord insurance when it came back was not so good. £237 significantly more than my renewal quote of £154. They sent me an automatic email of the quote just in case they were able to tempt me.

Mean while Eric had come back with his quote. This was interesting. He had two figures one for non members of RIKY, the other was for members. The members quote was pretty attractive at £135 and below my renewal quote but at £1.31 per £1000 cover above their quoted headline rate. I didn't really want to splash out on membership of the RIKY scheme nor did I want to go through the laborious task of having to real of the property details of my portfolio to Eric.

Landlords it pays to ask
Instead, I thought I'd be cheeky. Lets try negotiating. So I phoned Alan Boswell with my pitch. I explained that I had received my renewal quote but had a lower quote from another landlord insurance broker which was kinda true. I put forward my scenario and explained that the alternative quote from cover sure was £910 (little bit of a white lie). Could they beat this? The very nice young woman at the other end didn't seem phased about this. You always worry that they are just about to interrogate you to test the validity of your story but no. Calmly she explained she was going to have to phone the landlord insurers to see what they could do but she would get back to me later that afternoon. I went off made a cup of tea and continued with my filing. Twenty minutes later, the call. The landlord insurers have said they can do it for £900. Great job done. I paid there and then with my card. Happy that I was covered for another year, saved myself £90 into the bargain and hadn't spent weeks filling in endless forms on the Internet or repeating my details to numerous landlord insurance brokers.

Landlords should get rent guarantee insurance

Landlords the latest figures from The NLA show that 74% of advice line calls are about tenants not paying their rent. Michael Thompson, Chief Executive of cheap landlord insurance, said: “Of course no landlord want to serve notice on a tenant, but the reality is that landlords are forced to do so when rental arrears become serious.: “Of course no landlord want to serve notice on a tenant, but the reality is that landlords are forced to do so when rental arrears become serious.

“We advise that before landlords act on signing tenancy agreements they consider all of the options for buy to let insurance.”

With rising unemployment an increasing number of tenants are failing to pay their rent, often leaving landlords unable to pay their mortgages. As soon as a tenancy agreement is signed landlord insurance becomes a legal obligation, and if your not properly covered when times get tough tenants may be able to negate their contractual agreements. Standard residential property insurance is not adequate when renting a property. This is why Cheap Landlord Insurance offers specialist cover for landlords and buy-to-let investors. With years of experience in souring the cheapest landlord insurance, Cheap Landlord Insurance are well placed to offer property owners a stress free way to stay within the law, as well as protection if things go wrong.

With policies underwritten by major insurance companies Cheap Landlord Insurance offer a range of protection which includes loss of rent cover, accidental damage, property owners’ liability and employers’ liability, as well as terrorism and subsidence cover. They endeavour to offer the cheapest possible price on policies so when seeking let property insurance owners can rest assured they are getting the best deal.

About Cheap-Landlord-Insurance: Cheap Landlord Insurance is an independently owned company which offers quality landlords' insurance at an amazing price. With a wealth of expertise Cheap Landlord Insurance are able to offer high-quality cover and peace of mind coupled with unbeatable customer service.

60% of leaseholders 'ripped off' on their building insurance

Landlords that are also leaseholders are being ripped off according to a recent report in Property Week. It highlights a claim by Chainbow which manages more than 77 sites that are home to 3600 leaseholders across the south east said that landlord insurance scams are widespread.

This is because the landlord who is responsible for insuring a residential block often receives a commission from the landlord insurance broker or landlord insurance company for using their landlord insurance. As the landlord will ultimately pass on the costs of this landlord insurance to the leaseholders their is little incentive for the landlord to find the cheapest landlord insurance. There is an incentive instead for the landlord to seek out the landlord insurance policy or landlord insurance broker that pays the highest commission.

The RICS has launched a consultation into the transparency in professional fees charged on property transactions and services and is currently gathering evidence. Central to the investigation is the declaration of insurance remuneration and commissions.

Landlords warned about taking in pets

Landlords have been warned by leading landlord website Property Hawk about taking in tenant with pets. Chris Horne Editor warns landlords that most landlord insurance policies do not cover landlords against damage to their property by guests and pets.

Landlords intending to take tenants with pets are always advised to check with their landlord insurance broker before buying.

The best advice for landlords considering taking tenants with a pet is to ensure that they take a large deposit.

Landlords that live in an apartment should also check their lease as this may specifically prohibit pets.

Landlord insurance - why rebuild costs are important?

Many landlords that are looking to insure their their buy-to-let property will look to insure their property for an amount similar to what they think it is worth. This on the face of it seems a logical way of proceeding.

The reality is if a landlord insures their buy-to-let property for it's current value then they will be over insuring their property.

The reason is because they only need to insure the property for the rebuild cost. Most properties value is contributed significantly by the value of the land on which the building sits. Typically 25-35% of the value of a property relates to the value of the land.

Therefore, a landlord needs to use a specialist website such as the one by the Association of British Insurers (ABI) This site has a rebuild calculator build into it allowing a landlord to calculate the rebuild cost for their buy-to-let property.

The other thing a landlord should note is that rebuild costs vary across the country, being highest in London. The calculator with use the postcode relating to a landlords buy-to-let property to make this regional adjustment.

Landlord insurance - the rights of leaseholders

Landlord insurance has critical importance to both, the tenant and the landlord. In the case of a leaseholder this is particularly important.


If you live in a leasehold property, the insurance is usually dealt with in 2 ways. Generally, flats leases require that the landlord insures the property. Later, the landlord is free to either recover the cost from leaseholders as a separate payment, called “insurance rent” or include it in the service charges. Leases of houses are quite different and require that the leaseholder insures the property in accordance with the instructions, provided by the landlord, who usually picks the insurance company.

If your case falls under the category, where property insurance is obligation of the landlord, the Schedule to the Landlord and Tenant Act of 1987 gives you, as a tenant, a right to require basic information associated with the insurance policy, which has to be provided by the landlord within 21 days. If the landlord fails to submit the required documents, he can be accused of criminal offence and fined up to £2,500.
If your case falls under the second category, the rights are even more extensive. The leaseholder is obliged to look for the most appropriate insurance policy. Should any misunderstanding occur between the landlord and the leaseholder, the latter has a right to apply to the court or to the Leasehold Valuation Tribunal.

For more FREE advice relating to insuring leasehold properties landlord can use the Leasehold Advisory Service.

Landlord insurance - cash back offer

Endsleigh famed for providing student room insurance are underwritten by Norwich Union. They now offer rent guarantee, landlord buildings insurance and landlord contents insurance and of course tenant insurance if you want to ensure your tenants are also covered. We particularly like their no nonsense rent guarantee insurance which guarantees a landlords rent for 12 months for less than a £100. Endsleigh are also the only landlord insurance company we know off to offer a cashbackservice on their policies. It all helps!

What sort of landlord insurance cover should a landlord get?

Landlord insurance is mainly sold by insurance brokers who sell insurance underwritten by some of the large insurance companies such as Norwich Union, Zurich, AXA.

Many landlord insurance policies are standard landlord insurance policies produced by these companies. In some cases individual insurance brokers such as the landlord insurance brokers in our brokers section have delegated authority to tweak their landlord insurance policies in order to offer additional cover or less cover in certain areas in order for them to offer useful cover extension or to reduce the premium they charge. One aspect that a landlord should use in assessing a policy is the cost per £1000 of cover. Cover costs range from £1 per £1000 upwards. Some insurers will offer very basic levels of landlord insurance cover with the option to add in specific additional levels of cover whilst others such as Alan Boswell have landlord insurance policies that offer a very generous and broad level of cover.

Do I need specialist landlord insurance?

Landlords need specialist landlord insurance. Why? Because household policies do not cover buildings, contents or the landlord for third party liabilities while their property is let out.

It’s not illegal not to have landlord insurance, although some buy-to-let mortgage lenders will insist that it is in place as a condition of the mortgage. If a landlord is prepared to accept the risk that their investment property: burns down, the tenant sues as a result of an accident at the property, or replace the roof because of storm damage, etc If a landlord is happy to take on these potential risks then landlord insurance isn’t required ( oh yes , don’t forget flooding!)

Personally, I’m not sure I could sleep at night without being fully covered with a landlord insurance policy. To my mind for landlords to take that kind of risk for the sake of a couple of hundred pounds a year is just not worth it.

Calculate rebuild costs by registering at the Association of British Insurers (ABI) website

Rentshield Direct improves tenant checking service for landlords

Rentshield Direct, the tenant checking company, has signed a five-year deal with NorthgateArinso PeopleChecking. The new service will provide an instant financial assessment of potential tenants and will flag any county court judgements (CCJs) to landlords before contracts are signed.

According to Tim Rooney, commercial director at NorthgateArinso PeopleChecking, there has been a substantial rise in CCJs over recent months as tenants struggle to meet rent deadlines.

“Just because a tenant has a CCJ doesn’t mean they should automatically be discounted,” said Rooney. “However, it’s important that landlords are aware of any potential problems and past financial history – no one can afford to lose out in the current housing market.”

The new service will halve the time the Rentshield Direct team spends checking tenant history and producing reports. PeopleChecking will be combined with online insurance services to help landlords find the most suitable tenants.

“All our team are based in the UK, rather than off-shore, and they need to spend their time as efficiently as possible,” said Gary Abrahams at Rentshield Direct. “Automating these processes will help us work much more efficiently, enabling the team to spend their time doing what they do best – helping landlords, agents and tenants get the best possible deal in a difficult market.”

Landlords can avoid TDS custodial scheme by using approved insurance scheme

Landlords should be aware that since April 06 2007 if they take a deposit from a tenant they need to either place it in a custodial scheme or they can use a landlord insurance scheme run by mydeposits

This allows a landlord to retain their tenancy deposit but also comply with the Tenancy Deposit Scheme legislation. For more information on the tenancy deposit scheme check out the Property Hawk website.

Jml-property-insurance introducer agents for Rentguard

Jml-property-Insurance.co.uk are pleased to announce that they have just been made introducer agents for Rentguard Property Insurance in the UK

The Rentguard Insurance has range of products & services covers all aspects of residential & commercial lettings as well as Owner Occupier Insurance and UK Holiday Home Insurance.

With such a buoyant rental market in the UK jml-property-insurance.co.uk are delighted to offer these products from Rentguard Insurance.

Philip Suter of jml-property-insurance.co.uk said” it makes sense to have a good choice of products for Landlords and Tenants and the Rentguard Insurance’s products are very good value for money for Landlords, Tenants and property owners”

Philip went onto say “Depending on which product you are looking for, all you have to do is click on the “Get a Quote” logo and you immediately enter the Rentguard site and can get a quote or arrange cover within seconds”.

Chirag Patel, National Account Manager of Rentguard said,” We are delighted to work with jml-property-insurance.co.uk. We know they have been very successful introducing Landlord and Tenant products since 2002 and we have excellent products which will benefit landlords and tenants UK wide. We look forward to developing a close and long lasting working relationship with jml-property-insurance.co.uk”

Rentguard is a trading brand of RGA GROUP LTD. They are Authorised and regulated by the Financial Services Authority (FSA), and adhere to the codes of practice of the Association of British Insurers (ABI) and the Insurance Ombudsman scheme (IOB). They are also members of the British Insurance Brokers Association (BIBA).

Landlord insurance - postcode lottery

Landlords for many years have been playing the postcode lottery with their landlord insurance. This is because that their landlord insurance premium hasn't taken into account the postcode of their investment property meaning that they may well be paying a higher premium than they need.

However research by specialist landlord insurance website www.landlordinsurancebrokers.co.uk reveals that more landlord insurance brokers are adopting specialised landlord insurance policies that adjusts a landlords insurance premium according to the postcode of their buy-to-let property.

Landlords looking to renew their landlord insurance should ensure that they ask their landlord insurance broker whether their policy takes account of their buy-to-let properties postcode. Otherwise landlords could find that they are paying more for their landlord insurance than they need.

Landlords can insure against loss of rent

The FT reports that landlords can now insure themselves agsinst loss of rent from tenats. The schemes are typically offered by companies that provide tenant reference services for estate agents, such as Keysafe, Homelet and Experian. They charge a six-monthly or annual premium relative to the rent on the property. Keysafe, for example, charges £75 for six months or £120 for a year to cover up to £10,000 in lost rent and legal fees.

New landlord insurance policy launched for tenant insurance and legal advice for Portfolio landlords

Landlord insurer broker launches new portfolio landlord insurance scheme.

Alan Boswell Insurance one of the longest established landlord insurance brokers has launched a new landlord insurance scheme to target portfolio landlords. The new landlord insurance policy offers landlords FREE legal advice and tenants insurance. Many landlords are increasingly concerned at the sustainability of their rents as tenants become unemployed as a result of the economic slowdown.

This new landlord insurance policy, launched in association with Property Hawk a leading website for landlords with FREE property management software online is available FREE to porfolio landlords with 15 or more properties or over £1 million of landlord insurance cover.

The policy offers:-

* Lost rent up to £25,000 over 12 months (subject to a 1 month rent excess)
* Up to £50,000 in legal advice


The cover costs £7.80 per property with a minimum premium of £126.

All this is FREE to portfolio landlords

The proviso is that each tenant / guarantor is referenced and awarded a PASS by Keysafe (UK) Ltd. This costs £30 a time.


To find out more landlords should contact Alan Boswell Insurance on 0845 6180298