Darren Bagnall, of Flat Living Insurance, discusses some steps you can take to protect your property from accidental damage.
Letting out your property always carries a certain amount of risk. No matter how reliable your tenants are, accidents can and do happen. However, although you most likely will have to deal with accidental damage at some point, there are certain steps you can take to ensure the damage is mitigated and you’re covered against costs.
Have you got a comprehensive Buildings Insurance policy in place?
One of the main ways you can protect your property from the aftermath of accidental damage is to invest in a comprehensive buildings insurance policy which will cover you against as much as possible. When choosing your Buildings Insurance policy, you should:
- Choose a policy which is offered on an ‘All Risks’ basis, as this is the most wide-ranging type of insurance cover available. It covers you against every type of damage other than the damage outlined in your Policy Wording and will mean you can rest easy knowing your property is covered in case any accidents happen.
- Make sure you fully understand the level of cover provided. This includes the level of cover you will be given, the insurer’s definition of ‘accidental damage’, the period of insurance and any additional costs.
- Remember that your Buildings Insurance protection will be based on the rebuild and replacement values for your property, so these must be completely accurate. When calculating your total rebuild cost, be sure to include things such as loss of rent and architects’ and surveyors’ costs.
Why is understanding your tenants important?
Most tenants are friendly and easy to get along with. However, no matter how careful your tenants are, accidents can happen anywhere and at any time. There are steps you can take, however, to ensure that your tenants are as cooperative as possible, which will make life easier for you if an accident does take place.
- Reference check your tenants adequately. This is a basic legal obligation every landlord has and can be completed through your letting agent or through Tenant Verify.
- Make the effort to build a rapport with your tenants so that you can work together to keep the property safe and to mitigate any potential damage. It will also help to have a good relationship with your tenants in case things do go wrong – the damage can be fixed as quickly as possible with the least amount of stress. Likewise, if your tenants respect you, they are far less likely to be careless with the property.
- Understanding your tenants will also help you to understand the way they will be using the property (i.e. if they are a family with small children or young adults) and this will help you to choose the appropriate cover.
Before you deal with accidental damage, do what you can to ensure your property is not susceptible to damage in the first place. This could be as easy as installing more durable flooring or spending a little bit extra to get more reliable fittings – when it comes to damage, prevention is always far better than the cure.
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