Landlord Contents Insurance
Contents insurance is very important for landlords who have furnished buildings, no matter if these properties are occupied or vacant. Contents insurance would cover your insured landlord possessions (home appliances, furniture, curtains, flooring, etc), including the possessions that are located on the properties that are rented out to tenants, in case of any damage (theft, water damage, malicious damage, etc.). You need to note that the property of your tenants would not be covered in this case, and the tenants would need their own special type of insurance.
Most insurance will cover furnishings and possessions located on your landlord property. However, it is important to find out, exactly what possessions are covered in your contents policy. For instance, the radiators are often meant to be covered by the landlord building policy. Thus, if you do not have landlord building insurance to cover your radiators, and they are not covered by your current contents insurance, these items may be uninsured, and they will not be replaced in the event they get damaged.
There are many different types of landlord insurance, such as: landlord property insurance, landlord contents insurance, landlord liability insurance, and employer insurance. It is important to note that the contents insurance does not cover the exterior of your buildings, your public liability, nor your employer liabilities (if you have employees working on your property).
The contents insurance will often replace your damaged possessions using the "new for old method" (replacement coverage). This means that your insurance will cover the current cost of your damaged item, which will enable you to purchase new items to replace the damaged ones.
Content Insurance Is Overlooked By Most
It is also important to note that not all landlords will actually require a complete coverage. For instance, if your properties are not furnished, you will obviously not need to pay for the coverage of the furnishings. Most likely you will only have floorings and other irremovable possessions that will need to be covered.
What type of contents insurance do you need, standard or accidental? To decide what type of coverage makes sense for you, ask yourself the following questions. Do you provide your tenants with fully furnished properties, meaning that your furnishings, fixtures, and appliances can get seriously damaged)? Will the security deposit cover the damage to your property? If you provide furnishing, and they may be at a large risk, and the deposit would not cover the possible damage, you may need the accidental insurance.
You need to note any specific aspect and details of your property (unoccupied property, occupied property, second homes, etc.) and possessions (many/few, cheap/expensive, etc.), and decide what kind of contents insurance it will be: standard contents insurance, accidental contents insurance, etc.