If you buy a second property and you wish to rent it out then one thing that you may be interested in is Landlord Insurance which is an Insurance policy designed to protect a property that the owner lets out to other tenants rather than lives in themselves which would be Home Insurance.
The most important thing that you need to know when obtaining a Landlord Insurance Quotation is your Building Sum Insured (B.S.I) which is the amount that you wish to insure the building for. Many people tend to use the market value for this which is the biggest mistake made in Landlords Insurance Quotations, the value that you need to know is the full Re-Instatement value of the property which can either be gotten by a professional property survey or you can go online and you can obtain a rough figure using the square footage of the property.
That is the main thing that the quotations are based upon, however there are lots of other things that you will need to know as well such as the year that the property was built and whether or not it is a grade listed building. The other very important thing is whether or not there are any flood or subsidence worries in the area in which the property you are insuring is situated, for example if it is right next to a river then you may have to have restricted flood cover on the policy or even a higher excess in the event of any such claims, again these things are usually well known and it is usually quite obvious if you are in a flood or subsidence area but not always.
The next thing that can make a difference to the type of policy that you are trying to get is what tenants you have in the property that you have rented out. Most insurers will be able to cater for Professional/Working, Retired and Student tenants however some insurers will not be able to cover any DSS Benefit Tenants or Asylum Seekers. Also the excess on the policy may also change depending on tenant type, for example while most insurers offer a £100 Excess for Working Tenants they may increase that to £250 for DSS Benefit Tenants.
The above is the basics that you need to know to obtain your Landlords Quotation and unlike Home Insurance there are no questions asked about how many bedrooms are in the property and if there are any smokers in the household. So if you have the information above and you’re looking at getting that rented house sufficiently insured then hit the Internet and the above information should be sufficient to get you at least a quick quotation.
Tags: asylum seekers, home insurance, insurance policy, insurance quotation, insurance quotations, landlord insurance, landlords insurance, professional property, property survey, subsidence