House Insurance For Renters
If you do not own your own home it is easy to forget that home insurance is still a necessity. There is no legal requirement to take out cover although some landlords may make it part of your rental agreement. House insurance for renters is also known as tenants insurance and you can find different levels of cover. Even if you are in a shared house it is worth while taking out house insurance for renters as the risk of theft or damage from visitors can be greater.
If you are renting a house you do not need to take out cover for the building as this will be covered by the landlord. The same applies to a flat or house share but there are some extra conditions that may apply if you share your home with others. Not every insurance company will take the risk of insuring contents in a shared property so doing some research is essential. Below you can find answers to some of the many questions about house insurance for renters.
What is House Insurance For Renters?
House insurance for renters is a kind of contents insurance cover. It is there to protect tenants from losing their possessions from incidents like floods, fire and burst pipes as well as cover against theft. You do not need to have house insurance for renters but it is well worth looking at policies and it could save you hundreds if not thousands of pounds should a disaster befall the home you are renting.
It is a mistake to assume that your landlord will have insurance that covers your personal possessions or any furniture that you have installed into your rented home. Landlords will have buildings cover to protect them from loss of permanent fixtures and a basic renters contents policy will cover your possessions against theft and damage.
What Does Home Insurance For Renters and Tenants Cover?
Damage by floods, fire, lightning strikes, vandalism and storms is usually covered by a renters home insurance policy. If you live in an area where flooding regularly occurs it is important to advise the insurance company and get more advice about this specific type of cover.
Some policies cover food in the freezer that is damaged due to a power outage or if the freezer breaks down. This may be a special add-on to the cover so it is best to check before signing up for a policy. A contents policy for renters will also give public liability cover which will take care against a claim by any visitor who is injured on the property. You may need to add accidental damage cover to your policy as an extra.
Renters House Insurance FAQ
How Much Cover Do I Need For Home Insurance For Renters?
Make an inventory of your belongings and work out what they would cost to replace. This amount should be the baseline cover. Remember that items of sentimental value do not necessarily qualify for a higher amount. If you think you will need cover for home emergencies or legal fees, request a quote with these included.
As A Tenant Do I Need Both Buildings And Contents Cover?
Unless you own the building and share it with tenants you will not need to take out insurance to cover the building. The owner of the property is responsible for taking out buildings cover.
Will My Laptop And Bike Be Covered By House Insurance For Renters?
Most contents insurance will include items like a bike or laptop in the policy. However, any claim will affect the following years premiums and could involve a larger compulsory excess in the future. If the items are very expensive it can be worthwhile considering a standalone policy.
|Renters House Insurance Resources|
|UK Insurance Ombudsman|
|Guide to home insurance|
|Find out about flood insurance|
|Contents insurance for tenants|
What Is Not Covered By House Insurance For Renters?
A home contents policy will not cover you for wear and tear of belongings and most policies exclude acts of terrorism. If you leave you rented home unoccupied for more than 30 days consecutively the cover may be invalid so it is important to advise your insurer if you need to leave the home for a longer period.
Cover for accidental damage can be limited and if a theft occurs but there is no sign of a forced entry your claim may be turned down. Special cover must be taken out for high value items as most policies have a limit per item on insurance claims. Cover for personal items outside of the home is an extra.
If you work from home and have computer equipment this will not normally be covered unless you have notified the insurer and the company has approved cover.
Types Of House Insurance For Renters and Tenants
You can insure your goods on a ‘new for old’ basis or opt for an indemnity policy which provides cover for the value of goods at the time of loss. Indemnity policies are cheaper but may not provide enough funds to get a replacement for a high value item like a top of the range computer or a large flat screen TV. When deciding on the amount of cover, you might want to factor in the cost of replacing a valued item as if it was new.
Most policies operate with an excess. Some have compulsory excesses in the terms. A compulsory excess means you pay the first part of any claim up to the value of the excess which is typically £50. If you opt for higher voluntary excess this can reduce the amount of the premium. However, this entails getting back less money for any claim.
Making A Claim On Tenant House Insurance
In order to make a claim against your house insurance for renters you will need the policy document. Additionally, if you can produce receipts or photographs of the lost or damaged items this will help to move the claim along faster.
If it is an emergency and the damage is due to storm or flooding it is important to take photographs of the damage to your personal belongings. Credit card or bank statements can also be used as evidence of a claim.
House Renters Insurance For Flat Shares
Although you can take out a shared policy with flatmates, a personal renters insurance policy is a better idea. Any claim made by one person named on a shared policy will affect the others and could make future premiums much higher.
In order to be covered for theft when you are house sharing you must ensure that there is a secure lock on your room door and that the door is always locked when you are out. Any belongings in communal parts of the property will not be covered by the policy unless there has been a break in.
Finding House Insurance For Tenants
There are plenty of websites that offer comparisons for insurance policies for renters. Just provide the relevant details and you can get an immediate quote. The average cost for renters insurance is £135 per annum but premiums will depend upon individual circumstances. It is also important to note that premiums in London are higher than other parts of the UK. Listed below are some of the best value insurance providers for renters.
- Admiral Insurance For Tenants
- AXA UK
- John Lewis Finance
- Legal And General
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