Landlord insurance is essential for anyone who is planning to rent out a property. Even if your tenants are respectful of the property, accidents happen and damage could easily be done.
Having a good cover could save you enormous financial costs but you don’t need to overspend to get the best cover. Here are 3 ways that you can cut the costs of landlords insurance without compromising on cover.
Setting up security such as alarms, high-quality locks or even CCTV will lower the risks of a potential burglary which could result in a lower price offer on your insurance. Good security will also make it easier to deal with a crime if it does occur which will save you huge legal costs and time spent on the investigation. Insurance providers are also more likely to lower costs if the building has a safe to store high-value items. This makes the items harder to steal so theft is less likely to occur. Safes are easy to purchase and can be placed in your rental with no hassle at all.
Reduce vacant periods
If your property is vacant for more than 30 days, insurance providers may be reluctant to offer you insurance and certainly not at a good price. This problem will mainly affect landlords who rent student properties whose tenants may be gone for long periods over the summer or Christmas holidays. An empty house is more appealing to burglars as there is no one to notice any crime that occurs. When leasing your property, make sure that you don’t leave any vacant periods of more than 30 days between tenants. Rent student properties out for a whole year instead of till the end of the term.
Whilst this may be a slightly disappointing measure, it could definitely cut down the cost of your landlord insurance. Everyone loves pets but they increase the chances of damage. Pets can easily knock things over, create an unwanted mess or even chew through furniture. Insurance providers will offer lower rates to properties that don’t allow pets. If your tenants are keen on bringing their furry friends, you could charge ‘pet tax’. This is an extra payment that tenants make to cover any possible damage caused by their pets.