Tag Archives: Landlord

Landlord property insurance: do you need it?

Article by Jason Hulott

The answer may typically be ‘yes’ to the above question whether you intend letting out a single room in your own house, a property such as a house, flats, or a holiday home.

The risks typically insured

When taking out landlord property insurance there are usually some perils and events that are typically covered, such as third party liability. However these may differ slightly between insurance providers it makes sense to check the terms.

The age of vandalism

Unfortunately we live in an age where vandalism occurs more and more frequently. Depending on the damage vandals may cause many hundreds of pounds worth of damage, if not more. This may typically be included in some buy to let insurance policies, but always check to make sure.

Nasty surprises from unruly tenants

Some providers will offer cover for malicious damage caused by tenants. However not all do, so it may pay to choose a provider of buy to let building insurance that offers this form of protection. Tenants may cause you a great deal of financial worry if you have to pay for damage such as this out of your own pocket.

Fire damage

Fire typically causes a great deal of destruction even if contained to a single room of the property. Imagine it tearing through the whole of the building. You may lose all the contents of the property and even the property itself if it is unstable. Rebuilding costs from fire may be enormous but thankfully fire damage may be included in the typical landlord property insurance.

Mother Nature’s storms

Mother Nature may often be very cruel, especially when it comes to storms. Lashing rain and gale force winds along with snow, hail and lightning storms may all cause considerable damage to properties. Therefore you may wish to check that any buy to let building insurance you are looking into, provides protection against these types of perils.

Insurance for the contents

Landlords contents insurance may also typically be an option as part of your landlord property insurance along. This means that generally if the contents are damaged due to any of the perils listed in your policy, you may be able to claim.

Taking out adequate landlord property insurance is essential when you consider how much you are going to be spending on your venture in the property business. It may also be a condition of your mortgage, so do check.

About the Author

Jason is the Webmaster of http://www.landlordpropertycover.co.uk where you can compare rates for your landlord insurance as well as take advantage of some excellent policy features.

Landlord Tips to Lower the Cost of Investment Property Insurance

Article by Alan Kappauf

Investment properties can be a good source of income even in a less-than-ideal economy. A great way to maximize your profit is to keep the cost of owning the property down. One area to scrutinize is your property insurance policy. Since insurance premiums are usually higher on a rental home, it makes sense to try for the lowest rate possible and still get the coverage you need. Here are some strategies for saving money on investment property insurance.

One of the best ways to save money on insurance is to shop around for the best coverage at the lowest price. Try to get at least three quotes from different insurance companies, and if possible, try to speak with an agent personally, rather than just looking at figures on the internet. Some companies specialize in working with rental properties, so you may want to compare their rates with those of standard insurance companies.

Another way to lower insurance costs is to look for a higher deductible. Going from a 0 to ,000 deductible can make quite a difference in monthly premiums. So, you’ll want to get the highest deductible that you can safely afford.

Also, be sure to inquire about any discounts the company offers. For example, insurers will usually lower premiums on houses with safety features such as smoke and carbon monoxide detectors, deadbolt locks, sprinklers and alarm systems. Certain types of roofing materials may qualify for discounts if they can withstand hail or wind damage. There may also be discounts for certain types of tenants. For example, people that are home more often, such as retirees or stay-at-home moms, may be a deterrent to burglars. They are also more likely to stop or report a fire than tenants who are often away from home. Also, be sure to check for multiple policy discounts if you own more than one property. If you haven’t filed a claim in a while, check to see if the company will lower your premiums for this reason.

Additionally, check to make sure that you are only insuring your property’s value and not the value of the actual land it is built on. For example, land is unlikely to be stolen or damaged, but your property might be. Also, make sure that you understand what you are being charged for. A policy that covers the actual cash value will pay only the cost of rebuilding at the current market value, while a policy that covers replacement costs will pay for the full cost of rebuilding the property.

Credit scores may also determine your cost, since some insurance companies will give lower rates for higher credit scores. Therefore, be sure to maintain good credit, and keep track of your credit score. Another thing to remember is that as a property owner, you do not need to insure your tenants’ personal belongings. Check to see if this option can be excluded from your policy and recommend that tenants purchase their own renter’s insurance.

The bottom line is that by looking at all of your insurance options, you may be able to save money in the long run and maximize your profits. Good luck!

About the Author

Visit free-rental-property-investing-info.com for free landlord forms, tools, and no-hype educational info focusing solely on investment property. Browse topics like buying a property, landlord insurance, landlord tenant laws, and much more.

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