If you are a landlord that rents out the properties you own to tenants for any period of time, you will need to consider purchasing buildings insurance. Buy to let insurance is a special type of insurance that is required for you to own if you wish to make a claim as a landlord. So what are the benefits of buy to let buildings insurance?
The first benefit is that you could very well receive cheaper buy to let buildings insurance if you are only renting out a low number of properties. For example, if you have less than five properties that are available for let, UK law permits that you should receive cheaper premiums. This means it can be much more worthwhile for small time landlords and property owners to purchase buy to let buildings insurance.
It’s also important to consider the amount of protection you will receive as the owner of buy to let buildings insurance. First of all, any damages that occur as a result of natural disasters, adverse weather conditions and fires can be covered within your policy. However, it is important to remember that some policies will offer this kind of cover as standard and others may not.
As a landlord, companies recognise that renting your property is a form of your income, and therefore it is vital that you can retrieve the rent. Some policies will cover you for loss of rent or lost earnings as a result of adverse damage to your property.
The other big advantage of buy to let buildings insurance is that you will receive public liability insurance. This part of your policy will cover you in the event of accidents or injuries occurring on the location of your property. Any damages or legal expenses that may arise will be compensated for by your policy to a certain extent.
Although owning buildings insurance is not a legal requirement, it is always strongly advised to ensure that you are prepared for all the potential problems that you may face you as a landlord.