Landlord Insurance - 6 Things To Consider
Announcement posted by 360PR 11 Apr 2018
6 Things to Consider Before Purchasing Landlord Insurance
By Bradley Jacobs
Investment properties have proven to be a safe bet when it comes to making money. Renters and tenants have a written agreement and there’s many processes your property manager should take you through, but every now and then you may end up with a rotten egg taking up residency in your property.
There is much debate about landlord insurance, whether you need it or not, and more importantly what to consider when selecting the right policy. Landlord insurance is a policy that will cover the property’s owner for any financial losses connected to a rental property. From the building to the furniture, landlord’s insurance covers the owner for several mishaps that are not covered in other types of home and contents insurance.
Here are 6 useful points you need to consider when you are looking for an insurance package.
Policy coverage will vary from policy to policy so it is important to shop around. Ensure you read all policy disclosure statements and compare a wide range of policies via the CANSTAR website.
About Bradley Jacobs:
Having leased and managed over 500+ properties in the Hyde Park and City fringe, Bradley can confidently give you a rundown of the features of each and every residence in the area.
Starting his career in Marketing, then moving into Property Management at a prestigious Real Estate agency in South West London before returning to Sydney. Bradley brings a unique skill set to lead the Property Management division.
His ability to match property and tenant is second to none, providing both landlords and tenants with the best results in the quickest time frame possible.
By Bradley Jacobs
Investment properties have proven to be a safe bet when it comes to making money. Renters and tenants have a written agreement and there’s many processes your property manager should take you through, but every now and then you may end up with a rotten egg taking up residency in your property.
There is much debate about landlord insurance, whether you need it or not, and more importantly what to consider when selecting the right policy. Landlord insurance is a policy that will cover the property’s owner for any financial losses connected to a rental property. From the building to the furniture, landlord’s insurance covers the owner for several mishaps that are not covered in other types of home and contents insurance.
Here are 6 useful points you need to consider when you are looking for an insurance package.
- We may be starting with an obvious one but always check the terms and conditions. It is important that you know inside out what is and isn’t covered in the policy. Always check your policies inclusions and exclusions. Premiums are often filled with other features and inclusions that you may not have been initially aware of.
- Pay attention to the cost of your landlord insurance as you don’t want your premiums to take up a large sum of your rental income.This doesn’t necessarily mean that the cheapest premium will be the best. Avoid getting caught out with nasty surprises by researching and comparing different premiums. On average Sydney landlords are only paying 1.5% of their rental income on their insurance.
- Consider beforehand the level on insurance you may be after. Different levels of coverage are required whether you are renting out a furnished space or just a building.
- Are you allowing pets on the premises? Pets have the potential to do a lot of damage to a property.Does your policy cover accidents or damages cause by animals?
- Consider the location of your property. Do you need to consider any specific risks? Is the area prone to flooding or cyclones? These factors will come into play when deciding on a price and level of coverage of your premium.
- Does your policy help protect you from theft, malicious damage/vandalism, loss of rent due to tenant default and legal expenses if required to evict a tenant? An unlikely situation, but it’s priceless to know you are covered.
Policy coverage will vary from policy to policy so it is important to shop around. Ensure you read all policy disclosure statements and compare a wide range of policies via the CANSTAR website.
About Bradley Jacobs:
Having leased and managed over 500+ properties in the Hyde Park and City fringe, Bradley can confidently give you a rundown of the features of each and every residence in the area.
Starting his career in Marketing, then moving into Property Management at a prestigious Real Estate agency in South West London before returning to Sydney. Bradley brings a unique skill set to lead the Property Management division.
His ability to match property and tenant is second to none, providing both landlords and tenants with the best results in the quickest time frame possible.