Landlord rent protection insurance is best understood backwards, from the conditions rather than from the cover. The cover is simple: the rent, up to a period, plus the legal costs of getting the property back. The conditions are where the product lives, and a landlord who meets them has a reliable product while one who does not has bought a policy that will never answer.
Before the tenancy: the referencing standard
The insurer sets a standard and it usually includes identity, right to rent, income or employment verification at a stated multiple of the rent, a previous landlord reference and a credit check. Where a guarantor is used they must be referenced too and the guarantee properly signed. A tenant who moved in before the policy started, or who was taken on trust, will not be covered whatever the schedule says.
At the start: the paperwork that has to exist
A written assured shorthold tenancy. The deposit protected in an approved scheme within the statutory period, with the prescribed information served. A current gas safety certificate given to the tenant, an energy performance certificate, and the government's how to rent guide. These are conditions of serving a valid possession notice as much as of the insurance, so failing them costs twice.
During the arrears: notification and cooperation
Policies require notification once arrears reach a stated level, commonly one month, within a stated time. They require you to cooperate with the insurer's solicitors and usually to use them rather than your own. Chasing the tenant privately for three months and then claiming is a common and fatal mistake, because the notification condition has already been broken.
What is excluded even when everything is right
Arrears that existed at inception. A tenant already in difficulty when the policy started. Damage to the property, which is a different section. A void after the tenant lawfully leaves. And in most wordings, a tenancy that has run on informally after the fixed term without any documentation, because the paperwork condition is continuing rather than a one off.
Questions people ask about landlord rent protection insurance
When do I have to tell the insurer about arrears?
Usually once they reach one month, and within a short window after that. Chasing privately for months before claiming breaks the notification condition.
Can I use my own solicitor?
Usually not. Most policies require the insurer's panel firm, and instructing your own can mean the costs are not covered.
Does it cover a tenant who was already behind?
No. Arrears existing at inception are excluded, and a tenant already in difficulty when the policy started generally is too.
What if the tenancy has gone periodic?
Most policies continue to cover a statutory periodic tenancy that followed a compliant fixed term, provided the paperwork conditions are still met. Check the wording, because a few require a renewal.