FAQS

Can you cover landlords' contents insurance only?

Yes, you can. If you buy contents cover you will automatically receive Public/Property Owners Liability cover with a limit of £5,000,000 with the Superior Insurance policy or £2,000,000 with the Standard Insurance policy at no extra cost. You might also wish to consider including some cover for Loss of Rent as this is extremely cost effective and can give you added protection in the event of a claim at the property where the tenant is forced to move out for the duration of repairs.

Do you cover the rent if the tenant stops paying?

Loss of Rent only covers you as a result of an insured peril. For example, if your property was severely damaged by a flood or fire and your property was deemed to be uninhabitable your tenant could be forced to arrange alternative accommodation. For the duration of repairs until your tenant can move back in, or until the property is reinstated to a habitable condition, you can claim for any lost rental income up to the sum insured. If you are specifically looking to cover your rental income in the event that the tenant simply stops paying or leaves the premises owing you rent, you should purchase Rent Guarantee and Legal Expenses insurance. The NLA Rent Guarantee policy offers this cover. Details of the cover can be found on www.nlarentguaranteeinsurance.org.uk  

Is my bathroom or fitted kitchen covered within buildings insurance?

All fixtures and fittings are covered under the building section of our policy. If you are a leaseholder and the freeholder is insuring the building we would suggest that you contact the freeholder to confirm the cover that they have in place for your property. You should also check the terms of your lease to be certain of which items you are liable to insure. Something to bear in mind however is that your freeholder will not have any idea of the improvements that you will have made so the cover that they have in place will only serve to reinstate the property to its’ original standard. If you have replaced your bathroom or kitchen with high quality fittings you could be left out of pocket. We would usually recommend that if you have fitted your own fixtures and fittings it is worth taking additional cover for these items to ensure that you are fully protected. 

How long will it take for me to receive my policy documents?

If you take out the policy on line you will have instant access to your entire set of documents – that is your policy schedule, policy wording, cover summary and receipt. If you prefer to buy your cover over the phone documents will still be emailed to you to ensure that you recieve these quickly.

How do I work out my rebuild value?

Whilst we can advise you on what to insure we are not qualified to give advice on how to calculate your rebuilding cost. There are a number of ways that you can obtain this however, such as

• Obtain a valuation from a Chartered Surveyor – this is our recommendation as it is the best way to ensure that you have an accurate and up to date valuation from a professionally qualified person.
• If you have purchased the property recently with a mortgage you will usually find that the lender has undertaken a Homebuyers report or survey and this will usually contain a recommended rebuild valuation as the lender uses this information to assess the viability of the loan. This is not always as accurate as a Surveyors valuation but is the next best thing and will be accurate enough for an insurer to accept should the worst happen.
• Finally, the Royal Institution of Chartered Surveyors (RICS) does provide information on their website to assist property owners in calculating the rebuilding cost for their property. This method of valuation is only as reliable as the calculations that you undertake and can be fairly restrictive as it only caters for certain property types. The calculation is based on the square footage of the property so have your tape measure and calculator handy! You can visit their website for more details by clicking  www.bcis.co.uk

Does your landlord policy include legal cover?

Our policy covers some Legal Defence costs as part of the Property Owners Liability cover, but if you are looking for full Rent Guarantee and Legal Expenses insurance to assist you with tenant disputes then you can purchase additional cover from us in the form of the NLA Rent Guarantee policy.

If I let my property furnished can I obtain contents cover? Is there a minimum sum I can insure for?

Yes you can arrange cover for your contents at the premises.  Our policy has a minimum sum insured of £5,000

Will my cover continue if the tenants move out?

Yes. Certain terms and conditions will apply dependant on the length of time your property remains vacant. Details of the conditions can be found in our Summary of Cover and our Policy Wording.

Is the building sum insured the same as the value of the property?

No, these two figures can be vastly different. For example if you own a house in an area where land values are high, should the unthinkable happen and the house be totally destroyed you would still own the land.  A house can usually be rebuilt for a fraction less than its purchase price however the difference between purchase and rebuild values differs greatly dependant on where your property is located so we would refer you to our question and answer on how to work out rebuild values for more information.

Can I insure all types of property under the landlord's insurance scheme?

We can insure houses, maisonettes, flats and apartments. Insuring flats or apartments for Buildings cover can be difficult as it is always more appropriate for the freeholder to insure all of the properties within a block as this makes handling claims far easier. We can provide cover for buildings on flats or apartments if you are legally liable to do so under the terms of your lease. The exception to this is properties based in Scotland where it is common practice for individual leaseholders to insure their own properties.

Can I pay my landlords insurance premium monthly by direct debit?

Yes, we can arrange for you to pay your premium over 10 months by direct debit. We arrange this with an external finance provider and an interest charge will apply. Please contact us for details of the charges that will apply or for more details of the arrangement.

Do I have to arrange landlords contents insurance if I let my properties on a part-furnished basis (e.g. with carpets, curtains/blinds and domestic appliances)?

No, there is no obligation (legal or otherwise) to insure your contents.

I let out a leasehold flat and the freeholder arranges buildings cover, do I need to arrange any insurance myself?

Your freeholder’s policy will cover the buildings and will also cover their Liability to you as the leaseholder but this would not protect you should the tenant or a guest injure themselves whilst at your property. We would strongly recommend that you purchase Property Owners Liability Cover as this will then protect you should the tenant try to make a claim for injury. In addition, whilst not as important, we would always recommend that you consider arranging cover for any contents you have at the premises and Loss of Rent.

If I let a property fully-furnished, will I have to arrange cover for a minimum contents sum insured?

You do not have to insure your contents at the premises, however under our policy if you do require contents, then the minimum sum insured would be £5,000

What if my let property has had subsidence, or has been underpinned?

We are unable to insure properties which have previously suffered from subsidence or have been underpinned. Our advice is to make contact with the previous insurers for the property as they will usually agree to reinsure the property with no additional requirements

What happens if my property is damaged and rendered uninhabitable? Will my policy pay out for alternative accommodation for the tenant?

Loss of rent is only covered in the event of an insured peril, for example if the premises has had a major fire or flood and your tenants have had to move out due to the premises being uninhabitable then you can claim for loss of rent.  If there is no insured peril then unfortunately the policy will not cover this.

Alternative accommodation will not normally be paid unless the tenancy agreement expressly states that the landlord is liable for covering the cost of alternative accommodation. Usually the tenant will source their own alternative accommodation for the period of time that the property remains uninhabitable and the landlord makes a claim for loss of rent

My front door was rendered irreparable by police gaining entry, they say it is down to me to repair and they are not liable. Does my insurance cover me for this?

The police are correct.  Our landlords policy will only provide cover for costs incurred as a result of a Public Authority gaining access to your property for the purpose of extinguishing a fire. Damage caused by a Public Authority for any other reason is not insured.

Do you include cover for a Loss Adjuster to negotiate a claim on my behalf?

A loss adjuster is appointed by your insurers to deal with the claim on their behalf and to negotiate a settlement with you. The Adjusters fees would be met by your insurer. Should you choose to employ the services of a claims assessor or agent then you will be liable for their costs in full.

I am a portfolio Landlord. What are the advantages and disadvantages of insuring all my properties on one policy or having individual policies per property?

Apart from the ease of administration on your part, the main advantage would be the premium savings that we can offer you. Having a single policy in place which you can add properties to or delete them from makes it far easier to manage, is more cost effective and saves you from having to repeat the same information every time you require a new quote. 

Why do you want to know my lenders details? What happens if I change lenders and forget to tell my insurers?

Mortgage lenders will always require their interest to be noted on an insurance policy so that, in the event of a major claim, they can protect themselves from financial loss (in which case any claims settlement will usually be issued to the lender to clear the outstanding mortgage before any balance of payment is released to you).

It is also condition of any mortgage or commercial loan that the borrower arranges and maintains suitable Buildings Insurance cover for the duration of the loan.  Where a lenders interest is noted on a policy we are duty bound to notify the lenders if a policy is cancelled or sums insured are reduced.

This used to be my home, why can I not simply continue on with my existing policy?

Standard household policies are not designed to cover rented property due to the increased exposure to insurers.  For example you need Property Owners liability cover to protect you should your tenant or their guest injure themselves at your property. Additionally if you disclose to your home insurance provider that you are no longer occupying the property and that you have let it to tenants they will almost certainly cancel your cover and advise you to arrange more suitable cover.

What happens if the tenant is away for a weekend and there is a water leak? If the tenant been there they would have been able to turn water off but the Office of Fair Trading (OFT) has said it is an unfair tenancy agreement term to insist that tenants turn water off  when it is only a short period they will be away.

If a tenant was away for up to 14 days your full policy cover would continue in the normal way. This is usually sufficient to cover most tenant absences (holidays, business travel etc), however, if the tenant was away for a longer period of time, full cover would still continue but certain conditions might apply (these can be found in our Summary of Cover and Policy Wording which can be downloaded from our website).  Ultimately the best course of action is to ask your tenant to notify you if they are planning to be away from the property for an extended period of time so that you can ensure that full cover is maintained.

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