How to Choose the Right Landlord’s Insurance

Choosing the right landlord insurance policy means matching the cover to your property, your tenants, and your specific risks. Here’s what to focus on:

1. Start with buildings cover. If you have a buy-to-let mortgage, buildings insurance is almost certainly a requirement of your mortgage terms. Make sure the sum insured reflects the full rebuild cost — not the market value — of your property.

2. Check tenant type compatibility. Not all policies cover all tenant types. If you let to students, housing benefit tenants, or run an HMO, confirm the policy explicitly covers your tenancy arrangement before buying.

3. Prioritise loss of rent cover. If your rental income covers your mortgage or contributes significantly to your income, loss of rent cover is essential. Check the maximum payout period — 12 months is standard, 24 months is better.

4. Consider legal expenses cover. With eviction costs in England often reaching £1,500–£5,000+ and taking months to resolve, legal expenses cover pays for itself quickly in a dispute. Worth adding as a minimum.

5. Compare on total value, not just premium. A cheaper policy with high excesses, short unoccupancy limits, or exclusions for accidental damage may cost more in the long run. Read the policy details carefully.

For guidance on landlord obligations and tenancy regulations, the  National Residential Landlords Association (NRLA)  is the authoritative UK resource.

Landlord Insurance FAQs

Q: Is landlord insurance a legal requirement in the UK? No — landlord insurance is not legally required. However, if you have a buy-to-let mortgage, your lender will almost certainly require buildings insurance as a condition of the loan. Without it, you could be in breach of your mortgage terms.

Q: What’s the difference between landlord insurance and standard home insurance? Standard home insurance is designed for owner-occupiers and will typically be invalidated if you rent your property out. Landlord insurance is specifically built for rental properties and covers risks home insurance doesn’t — including tenant damage, loss of rent, and liability to tenants.

Q: Does landlord insurance cover damage caused by tenants? Accidental damage by tenants is not always included as standard — it’s often an optional add-on. Deliberate damage caused by tenants may require a specialist malicious damage extension. Always check the policy wording carefully.

Q: Can I insure multiple properties on one policy? Yes. Portfolio landlord insurance covers multiple properties under a single policy with one renewal date. This is generally more cost-effective and easier to manage than separate policies for each property. Providers such as Direct Line and AXA offer portfolio cover.

Q: Does landlord insurance cover rent arrears? Standard landlord insurance does not cover rent arrears — that requires separate rent guarantee insurance. However, some insurers offer combined policies that include rent guarantee cover alongside buildings, contents, and legal expenses protection.

Whether you own a single buy-to-let or manage a growing portfolio, the right landlord insurance protects your investment, your income, and your peace of mind. Use Compare100 to compare policies from leading UK providers, check what’s included at each price point, and get quotes directly from the insurers listed above. Comparing before renewing or buying a new policy takes minutes and could save you hundreds.