Landlord Insurance with Malicious Damage Cover

Landlord Insurance with Malicious Damage Cover

If you are thinking of sinking money into property to then rent it out you must make sure that you take out the right sort of cover to protect your investment. However as there are now so many different kinds of landlord insurance policies available it may prove difficult deciding which is the right one for you. So to help you make a more informed decision with regard to this matter we take a look at landlord insurance with malicious damage cover.

As every insurance company who provides landlord insurance will offer slightly different kinds of cover then you should read through the key points of each policy before you make a final decision. What you will soon see is that most insurance companies will offer you the types of policies that provide cover from such perils as lightening strikes, fire, subsidence, earthquakes and cover against claims made by tenants known as owner liability.

When it comes to selecting a policy it is a good idea to choose the ones that are provided by the more well known insurers. Doing this you are opting for those who are regulated by certain financial authorities such as the Financial Services Authority) in the US. By doing this what it means is that if any problems arise concerning the policy you will know that these matters will be dealt with in the right way. It is these people that you should be turning to if you find that you cannot get the matter resolved reasonably.

So what does landlord insurance provide cover for? In this article we take a look at the types of cover that should be provided and which are the most important to those who own property to then let it out.

Household Insurance

Just as with the cover you would take out on your own home this type of insurance not only protects the property itself but also the contents inside. But what you shouldn’t do is actually take out the type of household insurance you would on your own home as this type doesn’t come with property owner liability cover. Therefore if your tenants make a claim against you because they become ill or get injured whilst living in your property then you would have to cover the costs of their claim yourself.

Building Insurance

The cost of this will vary quite a bit and will depend on a number of different factors such as where the property is located, how much it would cost to rebuild and of course the kind of people who will be tenants. For example you will find that the premiums charged where the cost to rebuild a house for $40,000 will be much less than if the value to rebuild was $200,000. Also expect to pay more for this form of insurance if your property is in an area that is known as a high risk crime area.

Contents Insurance

This is of course is provided to protect the items that you have placed in the property yourself. In many cases you may find that by taking out contents insurance with building insurance gets your premiums reduced. However of course although the landlords items are covered your tenants must be made aware that their own are not . So it is advisable that they take out their own policies.

Hopefully by showing you what does landlord insurance provide cover for that it will help you make a more informed decision as to which policy is the right one for you to take out. So you have invested thousands of pounds in purchasing property but what’s the point if you haven’t protected it correctly.