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Accidental landlords ‘may lack adequate cover’
06 September 2010
Select & Protect has warned that many ‘accidental’ landlords who have fallen into letting out their properties during the economic crisis may not have adequately insured their properties. The general insurance provider said that many new landlords, who have chosen to rent out their homes rather than attempt to sell, may be unaware that their existing home insurance policy will not cover their property once tenants move in. Select & Protect highlighted that the rental market continues to grow with CML figures showing there were 13% more buy-to-let mortgages taken out in Q2 2010 compared to Q1. Paul Firkins, sales director at Select & Protect, said: "Although landlords insurance is not legally required in order to let out a property, it is highly recommended. Properties certainly aren't cheap and letting them out often works as a long-term investment, so it makes sense to protect that investment with an adequate insurance policy." He added: "Having adequate cover really does offer that extra peace of mind for landlords. Not only for protection against standard perils but also because you know that you would look after your home but you can't guarantee that your tenants will." Published by Mortgage Solutions
