Residential landlord loss of rent insurance

Landlord loss of rent insurance helps protect you financially against loss of income if your rental property is left uninhabitable. This is included with our Landlord Insurance policies as standard.

Loss of rent insurance for landlords can help to protect your income if your property is left uninhabitable because of an insured event such as a fire or flood. It’s designed to protect your income while repair or rebuilding works are carried out to make your property fit to live in.

This type of insurance does not cover a tenant defaulting on rent – that can be covered by Rent Guarantee Insurance.

Every landlord insurance policy differs, so you should always check the exact details of your cover. However, policies such as ours offer income cover if the property you’re letting out is considered uninhabitable because of an insured event. This can include a fire, storm, flood, or other insured events accepted by your policy provider.

Rather than losing out on rent if your tenants are forced to leave, Landlord Insurance can help ensure you still get paid. It covers you for 12 months from the date you begin to lose rental payments, whilst your property is uninhabitable due to ongoing works and repair. Many policies can also include cover for the full rent cost, rather than just a percentage of your rent.

Loss of rent insurance can also help to cover the cost of similar accommodation for your tenant if they need to leave your buy-to-let property while works are carried out. However, this type of insurance usually doesn’t cover you if the tenant fails to pay rent. This would be covered by Rent Guarantee Insurance, which is a separate policy.

Loss of rent insurance for landlords typically covers:

• Financial loss: Provides financial protection by reimbursing you for the rental income you would have earned during the period of repairs or renovation.
• Alternative accommodation: If your tenants are forced to leave the property because of an insured event, you may need to provide them with temporary housing. Loss of rent insurance can also help with such additional expenses.

If a fire occurs and leaves your property uninhabitable and in need of repair, your tenants could be forced to move out. Repairs may take several months if there is extensive damage to the property. This would mean a loss of income for you. Alongside covering the costs of repair and building works, losing this income can be a huge financial burden. This is why landlord loss of rent insurance is so important to consider. It helps ensure you’re reimbursed for rent on your buy-to-let property, so you still have an income while your property is vacant and works are ongoing. This is why it’s included with our comprehensive landlord insurance policies as standard.

By law, you must ensure your rental property is fit for habitation. It’s important you determine that the property is safe before you allow your tenants to return, especially after a fire or a break in. If not, you may want to find alternative accommodation for your tenants while the property is restored to a habitable standard. Loss of rent insurance can help cover the costs of this alternative accommodation, so there’s less financial liability for you.

Having a buy-to-let property is a reliable source of income, until things go wrong. If a fire or flood forces your tenants to leave, it could leave you out of pocket. Having landlord loss of rent insurance can be beneficial for many reasons – the biggest being that it can help to protect you from loss of income, offering you extra peace of mind if a disaster occurs. It can also help you cover the cost of additional expenses, such as alternative accommodation for your tenants while they’re not living at your property.

The cost of landlord loss of rent cover as part of a landlord insurance policy varies depending on personal circumstances and your chosen provider. Insurance companies will usually consider the following factors when pricing your policy:

• The type of property, its size and location
• The risk of insured events at your property, including fire, floods, and storms
• How much cover you need
• The excess you’re willing to pay
• Your claims history

To get a quote, fill out our online form. You can also speak to a member of our team on 0808 168 9220 if you’d like further information.

If a disaster such as a fire or flood occurs at your property and your tenants need to move out temporarily, you can submit a claim under your landlord insurance policy. You should always check the wording of your policy first to see what’s classed as an insured event.

Before reporting your claim, make sure you have the following information to hand:

• Your policy number
• Details of the event, including timings
• Details of what you are claiming for
• Any documents or photos to support your claim, such as images of the damage or repair quotes

If you have any questions about your claim, you can speak to the Just Landlords team via live chat or email. You can also call us on 0808 168 9220 and a member of our team will be happy to help.

Just Landlords offers comprehensive loss of rent cover to help keep you and your buy-to-let income protected. We’re rated 5 Star by Defaqto, the financial research specialists, so you can rely on us to help you find suitable cover. Our customers love us too, with an overall rating of “Excellent” on Trustpilot*. To get a quote, fill out our online form. You can also speak to a member of our team on 0808 168 9220 if you’d like further information.

*Correct as at October 2024.