Why do I need home insurance?
A property is quite possibly the largest financial investment you will make in your life so protecting it is a must. As a landlord, you have multiple responsibilities when leasing your property with the tenants being your main obligation. Most home insurance policies will cover public liability which covers a member of the public if they were to have an accident on your property, but this does not include your tenants. Landlord liability covers your tenants if one were to have an accident or even death on your property.
What level of insurance do I require?
Building and contents cover is vital along with landlord liability cover. Building cover insures the property itself and contents cover includes all items you own within the property including electrical appliances. Landlord liability cover protects the tenants living in your property if an accident occurred.
What if I own an apartment, do I need insurance if I am paying my management fees?
When an apartment owner pays their management fees, they are contributing to the block insurance policy. This covers the apartment building, including your apartment. In this case, you need to take out a contents policy. This will cover landlord liability cover protecting you if an accident were to occur within your apartment. If an accident occurred within the building, this is a case for the block insurer.
What does home insurance cover me for?
There are multiple home insurance policies available to landlords, from minimum basic cover to premium cover. One policy varies from the other, depending on what benefits you would like included. A standard building and contents insurance policy covers the following:
How do I calculate my re-build costs?
Many property owners put their home insurance on the long finger as they are not familiar with how much it would cost to re-built their property. Remember, this figure is not the value of the property including the land value, it is the cost to re-build the house on its own. The Society of Chartered Surveyors Ireland include a House Rebuild Calculator on their website and within five simple steps, your re-built cost is calculated for you. It has never been easier! It is important to update your building sum insured yearly, to keep up to date with current rates and to ensure you are not over or under insuring your property.
How do I find the right policy for my property?
Find a good broker. If you are unsure of where to turn then ask friends, family or your friendly letting agent for a recommendation.