Insurance for lanndlord and tenants

suni123

I have a 2 bedroom mid terrace house.
I am staying with my wife in one bedroom and i have rented the other bedroom to one student.I would like to know which insurance companies gives insurance in this kind of situation and what kind of insurance i have to take for both buildings and content.
Please advise as this is urgent.
Thanks

dogbot

Hi,

You will need to arrange your own buildings and contents insurance as normal. When you apply you must declare the lodger as being present as it is a material fact. Some companies may not like lodgers and not offer to quote but most will just add a loading. Given the situation is a bit unusual you might be best going to a broker who can offer you advice.

You can, if you choose, add the lodger as a joint insured on your contents policy - just remember to increase the sums insured to cover their items. This will ensure everything is covered.

However, chances are you don't want to pay for their cover, so they can get their own contents cover. This cover will also come with some liability cover which is good for you!

dacouch

Not sure a home contents policy in the landlords name will cover a tenant / lodgers contents.

I agree that a broker would probably be the best bet, make sure you write on the proposal form or put in writting in some way that you have a student lodger so there are no problems if you have a claim.

Bear in mind that your Insurers will probably exclude theft and / or malicious damage by the tenant / lodger and will probably only cover theft if there are signs of a violent or forcible entry eg they won't cover your lodger doing a runner with your tv

pedro123456

Suni.............if you come to the conclusion you need a broker try this link

http://www.unbiased.co.uk/

Z

dacouch

Thats link is not for brokers, try http://www.biba.org.uk/ConsumerHome.aspx

pedro123456

Int it dacouch..........is your link an Assiciation?, you know like a telephone directory for mortgage brokers?

What's with the mortage advisors then?

Is there differents levels of ability and or fees or something?

Excuse my ignorance….what is the difference broker/advisor? etc………you know what I mean !!!! I’m sure

Z

dacouch

The link you posted offers Independant Financial Advisers, Accountants, Solicitors and Mortgage Brokers.

IFSa normally only offer general insurance products as accomadation business, they tend to only use one company eg Payment Shield (Unless they are part of a group of companies that is an Insurance Broker). The mortgage broker offers mortgages and may offer home insurance.

The poster is best going to an Insurance broker who will handle home insurance and deal with a number of Insurers.

The link is for BIBA who are a trade organisation for Insurance Brokers.

dogbot

Dan_Thomas wrote: »

They won't cover tenant's contents as you have no financial interest in them. In other words, you can't insure something that doesn't belong to you (there are exceptions).

Most insurers will refuse cover, or apply an increase in premium. What dacouch says is absolutely correct. They will be unlikely to cover theft unless there is forced entry etc.

Re your first point, I think you misinterpreted what I said. I mean't add the lodger as a joint policyholder on the contents policy, therefore they would be subject to the policy.

You are quite correct however, that most insurers will not quote or increase the premium.

dogbot

agreed they need to understand the relationship, but i was looking at it like this: My girlfriend and I dont technicaly have insurable interest in each others posessions, but live together and insure them under a joint policy. Similarly when a student, I had a joint policy with my housemates. I would assume that here the insurer would just regard the lodger as an (albeit more risky) housemate.