There is no legal obligation for a landlord to take out a dedicated insurance policy. While it is not mandatory, it is recommended. If you have a mortgage on your property, the lender may require proof that you have a current insurance policy before allowing any tenants.

As a property investor, you need to minimise the risk to your asset. You probably have insurance for your home, car and even your life, and a landlord insurance policy is just another way you can protect your finances.

If you are unsure how to proceed, we can support you through this process. We can discuss the types of policies that are available, and the premiums and coverage you should expect. You may be surprised at how inexpensive a suitable policy is, and it is a small price to pay for your peace of mind.  Landlord insurance covers several must-haves for investment property owners that are not covered by other types of home and contents insurance policies. The list includes:

• Theft or burglary by tenants or their guests
• Malicious damage or vandalism by tenants or their guests
• Loss of rent due to tenant default
• Legal expenses required to evict a tenant including court costs

Remember, a comprehensive landlord insurance policy protects you against a number of issues that other home and contents insurance policies do not cover.