INSURANCE GUIDE
Landlord and Tenant Insurance UK
What landlords and tenants each need to insure - and what falls through the gap between the two policies.
TL;DR
- Landlord insurance covers the building and the landlord liability - not the tenant personal belongings.
- Tenants need their own contents insurance for personal possessions - the landlord policy does not cover these.
- Liability to other tenants or the landlord for accidental damage can be covered under tenant contents or renters liability policies.
- Lease agreements set out each party obligations but these are separate from what insurance actually covers.
What Landlord Insurance Covers
Landlord buildings insurance covers the structure of the rented property - walls, roof, floors, fitted kitchens and bathrooms, and permanently fixed items - against fire, flood, storm, and accidental damage. It also includes landlord liability insurance covering claims by tenants or visitors for injury or property damage attributable to the landlord's failure to maintain the property. Loss of rent cover compensates the landlord when the property is uninhabitable following an insured event.
What Landlord Insurance Does Not Cover
Landlord insurance does not cover tenants personal belongings - clothing, electronics, furniture brought by the tenant, or valuables. It also does not typically cover accidental damage caused by a tenant to the landlord's own fixtures and fittings without a specific accidental damage extension. Malicious damage by tenants is usually an optional add-on rather than a standard cover.
What Tenants Need to Insure
Tenants are responsible for insuring their own personal possessions through a contents insurance policy. Standard tenant contents insurance covers: personal belongings against fire, theft, and accidental damage; portable electronics; and sometimes bicycle cover. Renters liability insurance - sometimes included within contents policies - covers accidental damage caused by the tenant to the landlord's property, such as a broken window or carpet stain, that the tenant is required to repair under the tenancy agreement.
Lease Agreement Requirements
Residential tenancy agreements do not typically require tenants to hold contents insurance. Commercial leases frequently require tenants to hold public liability insurance and sometimes to contribute to or hold buildings insurance depending on the lease structure. In commercial property, the insurance obligations of each party are set out in the lease and should be reviewed carefully before signing.
Related Guides
Disclaimer
This guide is for general information only and does not constitute financial or insurance advice. Kaeltripton.com is not regulated by the FCA. Always read policy documents in full before purchasing cover.
Frequently Asked Questions
Does the landlord insurance cover tenant belongings?
No. Landlord insurance covers the building and the landlord liability. It does not cover the personal possessions of tenants. Tenants who want their belongings insured must arrange their own contents insurance. This is a common source of confusion after fire or flood damage where tenants assume the landlord's insurer will compensate them for their losses.
Who pays the insurance excess when a tenant causes damage?
If a tenant's actions cause damage covered by the landlord's buildings insurance, the landlord makes the claim and pays the excess. The landlord may then seek to recover the excess and any uninsured losses from the tenant, either through the tenancy deposit scheme or civil proceedings. The allocation of costs depends on the tenancy agreement terms and the specific circumstances of the damage.
