Tenants insurance: we’ve got it covered, have you?
Fri 15 March 2019
Claire Pile MARLA of Stags Lettings department reports on the number of renters still failing to take out tenants insurance and highlights the associated risks.
In many areas of life, insurance is a given, whether that’s vehicle, home, pet or medical; we all understand the importance of protecting ourselves and our belongings when something goes wrong. However, according to Claire Pile, many renters are failing to protect their own contents from theft or accidental damage despite the many benefits of doing so, “Tenants contents and liability insurance can be purchased at a relatively low cost and can help to protect both renters’ deposits and their possessions.”
Three common misconceptions when it comes to requiring tenants insurance:
1. "My landlord’s insurance policy will cover me"
Incorrect. While the landlord will have insurance to cover the building you are renting, this cover does not extend to your belongings. A landlord cannot insure your belongings as they do not know what you have; it is therefore down to you as a tenant to arrange your own.
2. "I do not own very much so I do not need insurance"
Although you may not think your possessions are of any great value or significance to you, when you start to look around and itemise what you do have it soon adds up and you would find yourself severely out of pocket should you suddenly lose it all.
3. "I am careful so I do not need liability insurance"
Accidents happen. Red wine spills on the carpet, burn marks on the worktop and cracked sinks are all things that nobody does intentionally but are sometimes unavoidable. You are legally responsible for the landlord’s furniture, fixtures and fittings so when damage occurs it is down to you to fix it.
What are the benefits of taking out tenants insurance?
Having insurance not only gives you peace of mind that both the landlord’s and your own items are protected, but it can also be used to correct damage and avoid lengthy disputes and deductions from the deposit at the end of a tenancy. According to the Tenancy Deposit Scheme, one of the most common reasons for disputes is accidental damage of the landlord’s possessions – don’t let this be you!
For further guidance contact Stags who, together with our partner insurance agent, can provide you with a competitive quote and complete peace of mind.