Why Landlord Insurance Is So Important!

So what is Landlord Insurance and why is it important?

Like any insurance, it is a safety net.

A contingency plan for when unexpected things happen.

Every landlord who owns an investment property has two major concerns. Firstly, that the rent is paid on time and secondly, that the property is well cared for, with no damage. We take every care to protect the owners with our strict tenancy screening process, however unexpected circumstances during a tenancy can change the course of action.

To eliminate these concerns, it is important to consider having adequate insurance cover to protect your asset. Landlord insurance is a specific policy designed to protect your rental income and costs associated with property damage. It’s important to know that every policy varies and may have different inclusions and exclusions. So it’s best to do your homework.

However, to assist in comparing landlord policies we have put together some of the different items that you will need to discuss/research.

·         Loss of rent due to damage

·         Damage & malicious damage (outside of normal fair wear and tear)

·         Rent default

·         Ordinary fixtures and fittings insurance

·         Tenant theft

·         Legal costs

·         Public liability

·         Pet damage

·         Meth damage

·         What excesses apply and when

Take the time to compare policies and what you are covered for, as they are all different. Landlord insurance is not expensive (compared to the possibility of lost income). It will give you peace of mind and check with your accountant as i can also be a possible tax deduction.

At BlueChip Rentals we are always here to help steer you on the right path by protecting your investment. Call us for more advise.