B
ecoming a landlord is a tricky yet fruitful task. There are countless responsibilities a landlord holds, from
ensuring the safety of residents to maintaining the upkeep of the building. Therefore, one stumbles upon the
question:
Do landlords need insurance?
The Answer: Yes and No – According to simplybusiness.com, there is “no legal obligation to for landlords to
take out insurance” (Source 1). However, most landlords will be required to get insurance by their mortgage
lenders, so it is more then likely that you will need to get insurance unless you either already have the funds to purchase a building or are able to find a mortgage lender that will lend to you without insurance.
What about costs and coverage?
The costs of landlord insurance and the areas it covers range greatly, with price and coverage moving in a
relative-relationship upwards. Additionally, landlord insurance policies can have many different aspects of
coverage beyond just the buildings and their content However, according to the blog BoughtByMany.com, the
average cost of insurance can be between £230 per year. However, these costs could alter anywhere between
£150 and £300 depending on your property’s location, additional policy measures, the type of policy and
level of policy which you are getting and who your tenants are.
