Landlord Insurance

Landlords need to stay protected around the clock - whether that’s with emergencies, troublesome tenants, or damage to contents. Keep yourself safe from the dangers with Mashroom’s comprehensive 
landlord insurance packages

Home Emergency Insurance
Home Emergency Insurance
Cover your tenanted property against unforeseen circumstances that make it uninhabitable.
Rent Guarantee Insurance
Rent Guarantee Insurance
Even the best tenants can run into problems which make it hard to pay rent. Protect your rent up to £3,000 per month.
Landlords Contents Insurance
Landlords Contents Insurance
Cover your tenanted property against unforeseen circumstances that make it uninhabitable.
Landlords Building Insurance
Landlords Building Insurance
Protect your rental property against damage to the building structure itself, as well as the contents.
Home Emergency Insurance
Home Emergency Insurance
Cover your tenanted property against unforeseen circumstances that make it uninhabitable.
Rent Guarantee Insurance
Rent Guarantee Insurance
Even the best tenants can run into problems which make it hard to pay rent. Protect your rent up to £3,000 per month.
Landlords Contents Insurance
Landlords Contents Insurance
Cover your tenanted property against unforeseen circumstances that make it uninhabitable.
Landlords Building Insurance
Landlords Building Insurance
Protect your rental property against damage to the building structure itself, as well as the contents.

Why does a landlord need insurance?

Recent years have seen huge changes for landlords in the UK. There have been lots of rule changes and new regulations to follow in the wake of struggles during the Covid-19 pandemic, making it harder for landlords to guarantee their revenue and protect themselves when issues arise. In line with this, it’s become increasingly apparent that landlords require insurance that’s tailored to their assets and their role in providing homes in the private sector. Not every landlord operates in the same way, so neither should the insurance that’s available. Here at Mashroom, we believe that the best insurance packages offer you flexibility in tandem with effective cover, which is exactly why we’ve developed our insurance products in the way that we have. 

If you’re a landlord that’s looking into new insurance options, or a prospective landlord seeking information about the process and the protection that you need, then you’re in the right place – Mashroom’s guide to landlord insurance is here to answer all of your questions and provide you with all of the information you’ll need to make an informed decision. In this guide, we’ll be detailing everything from the process of becoming a landlord, whether intentional or accidentally, all the way through to finding the right policies for the homes that you’ll be renting out to tenants, leaving no stone unturned, to keep you up to speed with everything that you need to know. 

Why does a landlord need insurance?

How do you become a landlord?

Before we start, let’s take a look at what exactly it means to be a landlord. Once you know the role you’ll play and the responsibilities that this carries, it’ll become much more obvious what exactly you need to insure yourself against. Whilst many have a predetermined image of what a landlord might be, this is very rarely the case. Whilst in some cases, a landlord may take on this role as a business decision, others may do so out of necessity or circumstance.

There are landlords who invest in multiple properties with the intention of renting these properties out to tenants on fixed or flexible lease terms. For these landlords, this is a full-time job and will be something that they are heavily reliant on in order to live their own lives comfortably. For these landlords, securing rental payments on a regular basis will be of the highest importance due to the impact that this income directly has on their livelihood – this can, in part, be secured using Rent Guarantee Insurance, which is something we’ll explain in more detail later on in our guide. 

On the other hand, we have landlords who may have stumbled into the role through circumstance; these landlords often have no prior knowledge of how to function effectively as a landlord and require more support in doing so. An example of this is when a property is inherited by a person after the passing of a loved one. This is an unexpected acquisition, however, it may hold sentimental value that makes it difficult to just sell on. In these situations, we often see the inherited property lived in, with the owner’s current property being rented out to another tenant.

Isn’t it time you ran for (insurance) cover?

Home Emergency Insurance isn’t so much a ‘nice to have’ as a necessity. Get in touch with us today so we can take care of the whole process on your behalf. We’ll cover you in the event of a (very) rainy day.
Home Emergency Insurance
Home Emergency Insurance
Cover your tenanted property against unforeseen circumstances that make it uninhabitable.

The costs of becoming a landlord

If you’re thinking of entering the housing market as a landlord, one of the most important things that you need to understand is the costs of being a landlord.

Property costs

Property costs

The major costs that you’re likely to incur when starting out as a landlord are for the the properties that you’ll be renting out to tenants – these costs are a necessary part of the process and will need to be put down before any sustained income can be made.

Mortgage costs

Mortgage costs

First of all, your main regular outgoing will be your mortgage cost, which will be billed on a monthly basis as part of your arranged mortgage agreement with the bank.

Property maintenance costs

Property maintenance costs

The next ongoing expense that you’ll be looking to deal with is property maintenance – this is different to refurbishment, which we’ll discuss next, and is essentially the money that you’ll need to spend every now and again to fix, repair, and upgrade your property to meet tenant expectations and keep them safe and comfortable in their home.

Refurbishment costs

Refurbishment costs

One of the first things you’ll probably be looking to do once your property purchase is complete is the larger renovation and refurbishment that the building is in need of – this is particularly common for properties bought as low-cost investments, as these properties tend to be a little worse for wear and in need of more substantial repairs than just a coat of paint.

Letting agent fees

Letting agent fees

Finding a tenant can be a tough process. The market has never been more competitive than it is right now, and as a result of that, it’s incredibly difficult to find acceptable tenants to offer your property to.

Investing in landlord insurance policies

Investing in landlord insurance policies

Perhaps the most important thing you can do as a new or existing landlord is to invest in a comprehensive insurance plan that meets your needs and protects you against the potential issues that can arise as a landlord.

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What responsibilities does a landlord have?

Understanding the responsibilities that you have as a landlord is something that’ll ensure you’re able to offer the best service to your tenants and avoid legal disputes relating to your property, improving the experience for every person involved in the agreement.

Maintenance

Safety in the property

Preventing negligence

Nuisance complaints

Houses of multiple occupation

Nothing is certain except rent and taxes

Ok, that’s not exactly the quote, but with the help of our Rent Guarantee Insurance experts, it will absolutely ring true. Get in touch with us today to take away all the uncertainty, stress and worry of receiving your rental payments.
Rent Guarantee Insurance
Rent Guarantee Insurance
Even the best tenants can run into problems which make it hard to pay rent. Protect your rent up to £3,000 per month.

Landlord Insurance: Why do you need it?

As with any profession where assets are being utilised by another entity, insurance is a vital component that you’ll require as part of your operations. Without insurance in place, the risk that you face is huge, with missed rent and home damages resulting in considerable losses of revenue and additional costs to you as the owner of the property. Whilst these damages or instances of unpaid rent may be unavoidable, even with the best tenants, don’t avoid a comprehensive insurance plan. By investing in an insurance plan that covers you in these circumstances, you ensure that your income is assured at all times – this keeps you and your family safe, even when disaster strikes. 

Tenants may miss their rent payments

There are times as a landlord where things don’t quite go to plan. Whether it’s a recession hitting, the job market crashing, or even a global health crisis, it’s hard to plan for every eventuality. 

Of course, if one of these unforeseen events does happen, it may mean that a tenant may miss a rent payment or be unable to make their rent payments in full. In these instances, it’s vital that you know what your options are and how you’ll be able to control the situation in the most productive and professional manner possible. By doing this, you’ll maintain a good relationship with your tenant and ensure that you’re offering the support that your tenant needs during a difficult time. 

Tenants may miss their rent payments

You may need to evict a tenant

However, there are times when your tenant may have repeatedly shown that they are not an adequate tenant for your property and, in these circumstances, eviction is usually the last resort.

Unfortunately, this can be quite a costly, time-consuming, and generally unpleasant process to have to set in motion, especially if you have grown fond of the tenants as people. It’s important to remember that your property is also your business and you need to protect your assets and income, so whilst it may be unpleasant to have to evict a tenant, it will more than likely be necessary to protect yourself and your property. 

You may need to evict a tenant

Disaster could strike at any time

For landlords, there are lots of disasters that could strike a property, many of which are extremely costly if you have not been able to prepare for them. From environmental events such as storms and hurricanes, to freak accidents such as faulty boilers and blocked water systems, you can never foresee which issues may crop up.

Unfortunately, if these problems do arise, you’ll need to fix them as a matter of urgency, especially if they put the premises in breach of  safe human habitation guidelines. Depending on the extent of the damage, you may be facing a huge bill to rectify and repair your property – for example, a falling branch causing structural damage to the roof of the house in which your tenants live.

Disaster could strike at any time

Instances where you may need to use your insurance policy

If you’re still wondering what scenarios you may find yourself in where your insurance could be crucial, don’t worry, we’ve compiled some of the most common problems for landlords and an explanation of how our insurance policies will help to mitigate these issues right here in our guide.

Rental arrears

Rental arrears

Rental arrears is perhaps the biggest fear for landlords in the UK. Missed rent will have a huge impact on your monthly revenue stream, and this can often impact your ability to do the things that you intended to do. In recent years, many regulations have been introduced to protect rental tenants, making it much harder to evict due to the protection that they now have.

Legal costs for evictions

Legal costs for evictions

As you’d expect with such a lengthy legal process, the costs of evicting one of your existing tenants can be considerable, which is why it’s so important to choose an insurance policy that covers the legal fees associated with removing a tenant from your property.

Pursuing a tenant

Pursuing a tenant

One commonly overlooked cost that landlords often face is the cost of pursuing a tenant to recover rent that is owed – this is a different cost to that of the eviction process and is something that costs you in terms of time, as well as money.

Alternate accommodation

Alternate accommodation

In the event of serious damage or malfunction in your property, you may find that the premises are deemed unfit for human habitation until the necessary repairs are completed to the proper standard. Depending on the amount of damage that needs to be rectified, this could be a long time for your tenants to be without a place to live, but you may be obliged to offer them alternate accommodation until the house is repaired if this is stated in your tenancy agreement.

What are the different types of insurance for landlords?

There are multiple types of insurance available to landlords, allowing you to tailor your package to suit your needs. Everyone’s circumstances are different, and it’s important that you’ve got an insurance plan that suits you. In our experience with landlords, the best way to relieve stress and remain protected is to weigh up each of the dangers that you could potentially face and compare that to the relatively inconsiderable cost of an insurance plan. Whilst you may be paying a small amount for your different types of insurance each month, this is nothing compared to the astronomical fees and loss of income that you could experience in times of emergency.

Rent Guarantee Insurance

Rent Guarantee Insurance is something that we’ve frequently mentioned and for good reason too. It’s one of the single most important things that any landlord can invest in if they’re looking to protect their revenue and sustain their income through rental properties.

As with any industry where leasing or renting is involved, the risk of giving out an asset in return for monthly repayments is incredibly high. You’ll always run the risk of failing to receive payment. Whilst it’s unlikely that the house will ever be stolen, there is the chance that your tenant may try to live in the house that you own without paying their rent – it’s become harder and harder to evict tenants over the past decade, so tenants feel that they are in a powerful position when it comes to their living circumstances. This has led to an increase in instances of unpaid rent, resulting in landlords being less secure in their earnings and more fearful of how a missed rent payment could affect their lives.

Rent Guarantee Insurance

Home Emergency Insurance

Our excellent Home Emergency Insurance is designed to help landlords deal with sudden emergency costs in the right way, without being left severely out of pocket as a result. As we all know, an emergency can happen at any time and it’s impossible to predict when, where, or how it might happen. This unpredictability is one of the most damaging aspects of being a landlord, as sudden disasters could completely change everything in terms of your incomings, your outgoings, and your business operations.

Here at Mashroom, we’ve looked to simplify home emergency cover for landlords, giving you the cover you need without the confusing jargon and frustrating limitations. With our comprehensive landlord insurance policy for home emergencies, your rental property is protected and so is your revenue. Our insurance will look to ensure that you’re covered when any emergencies arise, but it’s important to understand that this insurance is specifically designed to cover emergencies, not just general maintenance or wear and tear. Things that are deemed to be an emergency are events or instances that directly diminish the quality of habitation in the household: 

Home Emergency Insurance

Landlord Contents Insurance

An insurance policy that protects the belongings within a property is known as contents insurance; this is a very different process to insuring the property itself, as the physical structure is not insured as part of contents insurance. Contents insurance covers everything that the building contains, which can be a number of different household items. Of course, one of the largest points of contention within a rented property is who is responsible for insuring the items within the property; some items will belong to the landlord as part of the property, whereas others will belong to the tenant. Landlord Contents Insurance is specifically designed to keep the belongings of the landlord protected during a tenant’s time living in the property – this will usually be items such as furniture, utilities such as washing machines, and fittings such as carpets. 

A Landlord Content Insurance policy will cover and, if needed, pay out the cost of repairing or replacing and items belonging to the landlord that are damaged during a period of occupancy. This essentially means that you’ll be covered in the event that your furnishings or items are damaged, either accidentally or with intent. In the UK, Landlord Contents Insurance is not a legal requirement, which means it is a totally optional extra, however, due to the low cost and high number of benefits, it’s always something that you should consider adding to your cover plan. If you’re planning to supply the house as ‘furnished’, then we’d recommend that you take out a Landlord Contents Insurance plan, as the risk of damage being caused to your items is massively increased in these circumstances. 

Landlord Contents Insurance

Landlord Buildings Insurance

Whilst contents insurance may not be a legal requirement, Landlord Buildings Insurance certainly is. This is a fundamental level of protection that is required to ensure that both the property and the tenant is protected from major issues during their occupancy. This type of insurance will not cover any of the items within the property, but instead will look to cover any damage or issues relating to the physical structure and facilities of the property, such as the walls, roof, boiler, pipework, and plumbing – these can be caused by a number of different events, such as fires, floods, storms, or malicious attacks on the property. 

As a landlord, your responsibilities are huge, as is your level of potential liability, so it’s vital to ensure that you’ve prepared yourself and your property with the right types of insurance. By investing in these policies, you create a safe, solid foundation from which to operate as a landlord, protecting both yourself and your tenants in the long run. Landlord Buildings Insurance policies are designed to deal with the most costly of issues that could arise during your time as a landlord – these issues are also commonly the most dangerous too, potentially putting tenants at risk if they are not fixed promptly and professionally. As you’d imagine, these repairs can be expensive and time-consuming, which can often leave tenants in a precarious position regarding their living situation. In these circumstances, a Landlord Buildings Insurance policy will cover the cost of alternate accommodation during the time that the property is inhabitable. 

Landlord Buildings Insurance

Are you content with your contents insurance?

You can’t make sure your tenants look after the contents of your property, but you can make sure you’re protected if they don’t. Get in touch with us today to register your interest for this product - coming soon!
Landlord Contents Insurance
Landlord Contents Insurance
Cover the cost of repairing and replacing items in a property occupied by tenants.

Still have questions? We have answers.

Insurance policies can be really tough to understand, especially when it comes to the finer details, and this can often lead to landlords failing to utilise the cover that they pay for. To ensure that landlords have all the information they need to be able to confidently claim and protect themselves using the landlord insurance policies that we offer here at Mashroom, we’ve collated a list of the biggest questions asked by landlords and presented these to our expert insurance team. You can find their helpful responses to these FAQs below, but please get in touch with us if you have any other questions that aren’t answered on this page!

Will I still be covered by Rent Guarantee Insurance if I change my tenant?

How many tenants will be covered by Rent Guarantee Insurance?

Does Rent Guarantee Insurance cover HMOs?

I already have a tenant living in my property - can I take out Rent Guarantee Insurance for an active tenancy?

How many tenants do I need to insure on the Rent Guarantee Insurance policy?

What is the turnaround time for a contractor to visit the property once an emergency has been reported?

What happens if the emergency costs more than £1000 as per the maximum allowed - does the landlord pay the extra on top?

Does the landlord have to provide their boiler make and model so if a part is required to purchase they know which boiler it is?

Are contractors available on weekends to come out?

Will a claim affect the following years premium, or can they take it out again at renewal for the same cost?

Are there any exceptions to the cover e.g.: the size of the property, number of radiators, age of the boiler, etc.?

How are the contractors sourced?

Does the cover work for HMOs, or are there restrictions on the number of tenants, the size of the property, etc.?

If a landlord uses their own contractor to do the job, will home emergency insurance reimburse the costs for this?

What evidence do you require from the landlords to show that their boiler has been serviced annually?

What is the procedure for removing pests?

What does Landlord Contents Insurance cover?

What will your Landlord Contents Insurance policy cover you against?

What isn’t covered by a LCI policy?

Do you need a Contents Insurance plan if you’re renting out an unfurnished property?

Does a landlord need to insure the tenant’s contents?

Why is Landlord Buildings Insurance important?

What does Landlord Buildings Insurance cover?

What won’t be covered?

Is Landlord Buildings Insurance a legal requirement?

Building the right policy for you

Every good building starts with solid foundations, and every good Building Insurance policy is the same. To make sure you’re covered in all the right places (and there aren’t any cracks that could leave you worse off), get in touch with us today to register your interest - product coming soon!
Landlords Building Insurance
Landlords Building Insurance
Cover against damage to the building itself and and any fixtures or furnishings provided in a rental property.

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Mashroom is an appointed representative of Adelphi Insurance Brokers Ltd. Adelphi Insurance Brokers Ltd is authorised and regulated by the Financial Conduct Authority (FCA). Their Financial Services Register number is 594620, with permitted business activities being introducing, advising, arranging, dealing as agent, assisting in the administration and performance of general insurance contracts and credit broking in relation to insurance instalment facilities. You may check this on the Financial Services Register by visiting the FCA’s website, register.fca.org.uk or by contacting the FCA on 0800 111 6768