400,000 landlords affected by property damage.
The latest research from National Landlords Association (NLA) has shown that a massive 400,000 (29%) landlords in the UK have had their property damaged by tenants in the last 12 months.
It has also shown that on average; one in ten (8%) or approximately 120,000 landlords have had to make an insurance claim in the last 12 months, spending an average of 5% of their rental income on landlord insurance premiums.
However 49% of landlords say they haven’t spent any money on insurance premiums in the last year, and 46% spending up to 10%.
The research comes after the Chancellor announced that insurance premium tax will rise in November from 6% to 9.5%.
The new rate, which includes landlord insurance premiums is estimated to generate up to £1.75billion a year for the Treasury.
The NLA’s Chairman, Carolyn Uphill said:
“Property damage can be a costly issue for landlords especially if the level of damage exceeds the value of the tenancy deposit.
“We hear time and time again from landlords who have suffered because they failed to properly vet their tenants before granting a tenancy, and it’s alarming just how many landlords find out the hard way that their basic home insurance policy doesn’t provide the cover they need.
It’s vital to have the right policies and protections in place and landlords should ensure they carry out crucial tenant checks prior to letting their properties. The NLA offers the most comprehensive range of support, advice and services to help landlords and property owners of all types and sizes to run profitable, sustainable and successful lettings businesses.
Landlords who are unsure about what cover they need should get in touch about our bespoke property insurance offering, which includes some of the widest cover for landlords and buy to let owners in the market.”
To read the full report on the NLA click HERE.
Join in the discussion about this post on our forum HERE.