Landlord Insurance for Students
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Finding the Right Landlord Insurance for Student Properties
Renting to students poses unique risks for UK landlords. With high tenant turnover, parties and accidental damage, insuring a student let requires careful consideration. Landlords need specialist insurance that caters for these distinctive challenges.
Choosing the optimal landlord insurance for students is crucial to avoid expensive unforeseen costs down the line. This guide covers key factors landlords should consider when insuring a student rental property.
Calculate Sufficient Buildings Cover
Insurers will evaluate rebuilding expenses, so ensure your sum insured is accurate. Student housing suffers greater wear and tear over time. Guaranteed rebuilding cover gives protection against rising labour and material costs. Build in allowances for debris removal, architects, surveyors and meeting updated regulations.
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Evaluate Replacement Costs of Contents
Most landlords furnish student housing. Contents insurance covers replacing damaged items like white goods, furniture and kitchen equipment. Make an inventory with photos and receipts to evidence ownership and value. Remember, only the landlord’s contents are included, so exclude tenant belongings.
Consider Increased Rent Guarantee
Rent guarantee insurance covers lost rental income if the property is uninhabitable, for example, after flooding. This is essential for mortgaged BTLs relying on rent for repayment. Increase the monthly sum insured to account for potential loss across multiple rooms if tenants must temporarily relocate for repairs.
Protect Against Accidental and Malicious Damage
Opting for accidental damage cover from student mishaps like spills or breakages is advisable. Malicious damage protection covers vandalism – worth considering with frequently changing tenants. However, both increase premiums, so weigh up if this risk management is cost-effective long-term.
Review Liability Cover Levels
Student properties mean lots of visitors, so accidents on-site are more likely. Ensure public liability cover meets the £5 million minimum if injured parties pursue a claim. Some insurers offer up to £10 million, which is better for student lets where extra tenants raise risks.
Check Policy Terms for Unoccupied Periods
Standard policies usually exclude cover beyond 30 unoccupied days. Student properties regularly stand empty between tenancies. Consider an unoccupied property policy with more comprehensive cover for voids exceeding a month. Alert insurers pre-emptively before vacating properties for renovations.
Understand Exclusions
Insurers may impose tighter exclusions on student policies. Accidental/malicious damage, theft and vandalism claims can be rejected on technicalities. Read carefully and query any problematic exclusions before committing. Ask brokers to explain unclear legal terminology.
Verify Tenant Referencing Standards
Many insurers mandate tenant referencing checks for valid cover. This may include financial checks, guarantors and fraud database searches. Know the referencing requirements so cover isn’t jeopardised.
Compare Premium Quotes
Get quotes from multiple landlord insurance providers, as student premiums vary considerably. Consider more extended tenancy agreements, too – some insurers offer competitive rates for 9+ months, suiting student needs. Remember, cheaper premium policies may have more restrictive terms.
Find Specialist Student Let Insurers
General insurers may not offer student-tailored policies or impose blanket unfavourable conditions. Seek UK specialists familiar with this market who can provide bespoke cover based on your property type and tenant management experience.
While requiring greater effort, the right insurance provides confidence your student property investment is protected. Conduct rigorous tenant checks, maintain the property well and be prepared to evidence any damage claims aren’t linked to policy breaches.
Is Landlord Insurance for Students more expensive than standard landlords insurance?
Compared to other types of insurance, landlord insurance for students will tend to be more expensive than other policies.
This is mainly because students represent a greater risk to insurance companies than families and other tenants due to the increased likelihood of a claim being made.
Use our free comparison service to get the best deal on your landlord insurance for student properties. It could help you save time and money finding the right cover.
Renting out a property as a source of income is not without risks, so ensuring that the property receives the proper cover is important.
Recognizing this need for adequate protection, many insurance providers now offer landlord insurance policies tailored to suit properties regularly rented to students.
Although a wide range of different policies are available to landlords, choosing an adequate level of cover is of the utmost importance. Landlords insurance for students is usually intended to be fairly comprehensive to ensure that any damages caused by student living will be covered as standard.
It should also be remembered that landlords have a legal responsibility to their tenants and will be expected to fulfil certain requirements and obligations by law. Typically, most landlord insurance policies intended for students will contain adequate cover.
However, it does not usually apply to their personal belongings – this is the tenant’s responsibility. It is also recommended that most landlords include some legal liability insurance as part of their policy. It will protect them from any claims made against them by unhappy tenants in case of a dispute.
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