Why landlord insurance is a MUST for all landlords.

If you’re a new or experienced landlord, it’s important to protect yourself against the risks of owning an investment property. Landlord insurance is a must to make sure your covered when things don’t go as planned through your property investment journey.

We manage over 400 properties, ranging in price from $300pw through to $1900pw. Regardless of the style of property you own or how much it’s worth, I always recommend my clients compare landlord insurance policies and find a quality comprehensive cover that will protect them.

Throughout the year, we may only have 1% of our properties that require a Landlord insurance claim but when the unexpected costs of a flood or fire, or a tenant deciding they’re going to vacate in the middle of the night half way through their tenancy, our landlords are glad they have an insurance policy to cover them.

We aim to ensure our clients are aware of any risks they’re exposed to as a landlord and ensure that those risks are minimised.

But finding the right cover can be a little tricky.

Here are some key points you want to make sure you’re landlord insurance policy covers you for:

• Loss of Rent – What is the length of the cover and under what circumstances will the insurer cover the loss of rent.
• Accidental Damage – What amount are you covered for and how is ‘Accidental’ determined.
• Malicious Damage – What amount are you covered for and how is ‘Malicious’ determined. What evidence will they need (Photos, police report etc).
• Pet Damage – Are pets and damage related to pets covered under the policy?
• Fire & Flood Damage – What amount do they cover and under what circumstances will it be covered.
• Excess – How much is the excess on the policy and if it’s one excess per claim.

If you own an apartment, it’s also important to note that the Owners Corporation will also have insurance. This insurance only covers items relating to the building itself and not the contents of your property. For example, walls and ceiling damage will be covered by the Owners Corporation insurance but carpets and blinds will not be.