Top Insurance Claims By Landlords Revealed

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The top insurance claims being made by landlords have been revealed with the number one claim being for storm damage repairs, according to research.

Simple Landlords Insurance says the average bill for repairing storm damage is £1,500 while the next most common claim is for burst pipes which cost, on average, £4,500 to repair with landlords finding their ceilings, carpets and walls being damaged by water.

The research analysed 100,000 insurance policies for buy to let properties and found that the third biggest cause for claims was for damage caused during break-ins with landlords facing a repair bill of £2,300 caused by burglars.

The most expensive repairs for landlords

When the survey analysed the most expensive repairs for landlords, they found that, apparently, the average cost to repair electrical fire damage is £25,000.

A spokesman for Simple Landlords, Andrew Watson, said: “As tax increases are phased in incoming years, saving money will be important for landlords and for many property investors this could make the difference between them making a profit or loss.

“Insurance is one of the last things that the investor with a buy to let property considers and understanding the key factors that influence a premium could save landlords money.”

The report from the insurance firm reveals that the property’s location is also a crucial element in finding cheap insurance as is the type of property and age of tenants.

The main reason a landlord does not have proper insurance cover

The survey also revealed that the main reason a landlord or their letting agent does not have proper insurance cover for repairing damage is they have not purchased accidental damage cover in their insurance policy.

Indeed, all landlords should check their insurance policy to ensure they have the right cover to meet their needs and they should also appreciate that a normal domestic insurance policy will not suffice for a property with tenants.

The Insurance Risk Report also gives details on how landlords can minimise their risk for an insurance claim and these include:

  • Make regular inspections to the property to ensure tenants are who they say they are
  • Befriend neighbours so they will inform the landlord should something go wrong at the property
  • Avoid weather damage by ensuring the roof is well maintained and gutters are cleared
  • Help cover accidental damage costs and reduce excess payments by taking out additional insurance
  • Calculate any rebuilding costs accurately.

The report also highlights that while landlords can never predict when a storm will strike, there are some property features which make them vulnerable to harsh weather conditions. For instance, properties that have dormer windows or conservatories attached are more likely to be damaged by excessive rain and high winds during a storm.


Read more here:

5 Undeniable Reasons to Get Landlord Insurance

Is Landlord Insurance Tax Deductible?

Is Landlord Insurance a Legal Requirement?

A Beginners Guide to Landlord Insurance

The Benefits of Landlord Insurance

Landlord Insurance: What You Need To Know

Worrying New Figures For Landlords

Choosing the Right Landlord Insurance for You

What is Rent Protection Insurance

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