Understanding Simply Business Landlord Insurance
Investing in rental property can be a great way to generate a reliable incomeHowever, there can be financial implicationsLandlords need to ensure they have the right insurance to protect them from any unexpected issues that could occur with their property and tenantsSimply Business offers various insurances for landlords.
Understanding what insurance is available to you, whether you have one rental property or multiple investment properties, can help you to make a more informed decisionThe guide below will show you how it works, what it covers, the cost, and what to consider.
What is Simply Business Landlord Insurance?
Simply Business is a UK insurance provider that allows landlords to compare insurance quotes from different providersIt gives landlords more flexibility by allowing them to choose the right insurance for their property.
Landlord Insurance is specific to rental propertiesCompared to a standard home insurance, it takes into account the additional risks involved with renting out your property.
Depending on the policy and options chosen, landlords can insure:
- The building itself.
- Furniture, electrical appliances, and any items belonging to the landlord.
- Legal liabilities.
- Loss of rental income.
- Legal costs.
This can help landlords with a variety of properties.
What does it cover?
Depending on the provider, policy, and any additional options chosen, there are a few main types of insurance available.
1Landlord Buildings Insurance
This will insure the building itself against certain risks such as fires, storms, floods, and burst water pipes.
If your rental property suffers from a burst pipe causing serious water damage to your walls, ceiling, and flooring, your buildings insurance may help cover the cost of repairs if it is covered.
You should ensure you know how much it would cost to rebuild your property.
2Landlord Contents Insurance
If you have a furnished property to rent out, this can be very important.
This can insure any items that belong to the landlord such as:
- Sofas and beds.
- Kitchen appliances.
- Tables and chairs.
- Television and other equipment.
If your furniture suffers from damage due to a fire, your landlord contents insurance may help to cover the cost of replacing it.
This will generally insure the landlord’s items and not the tenant’s personal items.
3Property Owners’ Liability Insurance
As a landlord, you have a responsibility to keep your property in a reasonable state of safety.
Property owners’ liability insurance can help to cover any legal costs and compensation if someone claims you are liable for an injury or damage.
For example, if someone injures themselves due to a poorly maintained staircase, this insurance may help to cover the cost if you are legally liable.
4Loss of Rental Income
Sometimes unexpected damage can cause your rental property to become uninhabitable.
Loss of rental income can help to compensate landlords for the loss of rent if tenants cannot use their property due to an insured event.
This can be useful if major work is needed and will take weeks or months to complete.
This will cover any loss of rent due to damage but not if tenants stop paying.
Extra Options
Depending on the policy available, you may be able to add extra cover.
Some useful options are:
- Tenant default insurance – this can help cover any loss of rental income if your tenants are late with payments.
- Accidental damage – this could cover any unexpected damage caused by tenants or their guests, such as damage to fittings or furniture.
- Legal expenses insurance – this can help with some legal costs.
- Home emergency – this can help you with any urgent issues with your heating, plumbing, or electrics.
Always check what is not covered, any limitations, and what is required.
How much does Simply Business Landlord Insurance Cost?
There are various factors to consider, so there is no set cost.
Factors include:
- Where the property is located.
- Type of property.
- How many rental properties you have.
- Age and type of building.
- Type of tenants.
- Level of buildings and contents cover.
- Any extra cover.
- Excess.
The insurance starts from £14.47 per month for qualifying customersThis is only buildings insurance and £2 million of property owners’ liabilityAny extra cover will cost extra, and it isn’t guaranteed for all properties.
The best thing to do is to get a bespoke quote.
How to choose the right insurance
To ensure you have the right insurance to cover your property, consider:
- What type of property you have – are you renting out a furnished house, apartment, or commercial property?
- How much would it cost to rebuild? Ensure your buildings insurance covers the correct amount.
- Do you need extra cover for loss of rental income?
- Ensure you have the right amount of cover for any claims.
- What is not covered?
- What is the excess? Cheaper policies may have a high excess.
Taking your time to look at the details can help to avoid any unexpected issues.
Should I consider Simply Business Landlord Insurance?
If you want to compare different insurance options without contacting multiple providers, then Simply Business Landlord Insurance may be a good option.
As it is online, you can easily see what insurance is available and choose the right insurance for your property.
Ultimately, it depends on what you need, your budget, and the wording of the policyCompare the levels of cover, what isn’t covered, the excess, and any extra benefits.
Final Thoughts
Having the right insurance to cover your rental property is an important part of responsible property managementHaving the right insurance can help landlords with any unexpected damage, liability claims, and some loss of rental income.
Simply Business offers various options to insure your propertyTake the time to read through the policy documents and ensure you have the right insurance for your property, tenants, and financial responsibilities.