Protect your investment: a guide to landlord insurance

Owning an investment property can be rewarding, but it comes with some challenges. From loss of rent to water damage, protecting your property with the right insurance is essential for your financial security.

Not sure where to start? We’re here to guide you through the basics of finding the perfect landlord insurance policy.

Why landlord insurance matters

Your investment property is more than just bricks and mortar. It’s an essential part of your financial future. The right insurance policy protects you from unexpected events that could leave you out of pocket.

So, why does specialist landlord insurance matter? Let’s take a closer look.

What does landlord insurance cover?

This type of policy covers more than standard home and contents insurance. It’s designed to cover risks unique to renting out your property.

Here’s what it typically includes.

Liability: Covers legal or medical costs if someone is injured on your property.

Rent defaults: Protects you when tenants can’t pay due to unexpected financial issues.

Accidental damage: Covers tenant-related damage like broken fixtures or scratched floors.

Pet damage: Covers costs for damage caused by pets (no matter how cute they are).

Water damage: Protects against costly repairs from things like burst pipes or leaks.

Fire damage: Covers accidental and deliberate fire damage for peace of mind.

How to choose the right policy

Finding the best insurance policy doesn’t have to feel overwhelming. Here are a few steps to make it easier.

Compare policies: Take the time to compare key features, exclusions and excess fees across providers.

Ask questions: Find out what’s included. Does the policy cover storm or flood damage? What about extreme weather events?

Opt for specialist coverage: Regular home insurance doesn’t cut it. Go for a policy designed specifically for what you need covered.

Risks you might not have considered

There are some situations you might not expect, but the right insurance policy can help cover.

Death: If a tenant passes away, you may face a sudden loss of income. Some policies cover rent and associated costs in these cases.

Extreme weather: Storms, floods and other natural events can cause significant damage. Make sure your policy includes weather-related coverage.

Your property manager’s advice

If all this feels overwhelming, don’t stress. Your property manager is a great resource for navigating insurance. They often have relationships with trusted providers and insights into the risks property owners face. Don’t hesitate to lean on their expertise.

Safeguard your future with Kolmeo

The right landlord insurance policy doesn’t just protect your property. It protects your peace of mind and financial stability.

A friendly Kolmeo disclaimer: While we aim to provide helpful resources, this article is for general information only and not a substitute for getting your own professional advice. When it comes to landlord insurance, we always recommend speaking with a financial or legal professional to ensure you have the right cover for what your specific property might need.