Guarantee rent insurance is bought on a name far more often than on its terms, and the terms are what decide whether it pays. This page does not publish a ranking of products it has not read. What it publishes is the test: five terms separate a policy that answers the problem from one that answers half of it, and comparing them across three quotes takes ten minutes.
The period, and what happens after possession
Six or twelve months of rent is standard. The better products continue at a reduced percentage for a period after possession is recovered, covering the void while the property is put back into a lettable state and relet. That tail is frequently the difference between a policy that covers the problem and one that covers half of it.
The excess, expressed as time
Usually the first month of arrears is yours, sometimes the first two. That is a real cost and it varies between products. Compare it as part of the premium rather than separately, because a cheaper policy with a longer excess period may be more expensive in the only year you use it.
The referencing standard
Every product requires referencing before the tenancy and the standards differ: income multiples, previous landlord references, guarantor requirements. A policy whose standard you can actually meet on your properties is worth more than a cheaper one whose standard you cannot, because failing it is the commonest reason claims are declined.
Legal expenses, and whose solicitor
Whether possession costs are included, what the limit is, and whether you must use the insurer's panel. Bundled legal expenses is usually the more valuable half of the product for a landlord facing a first possession action, and a policy without it is not comparable to one with it.
Questions people ask about guarantee rent insurance
Which guarantee rent policy is best?
There is no single answer and this page does not rank products it has not measured. Compare the period, the excess, the referencing standard, the void tail and the legal expenses, which is what actually decides a claim.
How long should the cover run?
Six or twelve months of rent, ideally with a reduced percentage continuing for a period after possession so the void is covered.
What is the excess?
Usually expressed as time rather than money, commonly the first month of arrears. It varies and belongs in the price comparison.
Why do claims get declined?
Most often because referencing was not done to the standard the policy requires, or because the tenancy paperwork does not support a valid possession notice.