We all know that renting out a property can be a wonderful way to supplement income – many people put their profits towards retirement or even funnel into their own business. But becoming a landlord often involves much more than simply handing over the keys and picking up the rent every month – in fact, when renting out property, there is plenty that could go wrong. And the landlords who aren’t covered with insurance will find themselves out of pocket.

Landlord insurance is crucial. It can cover all eventualities: accidental damage to the building, flood, fire or storm damage, missing contents at the end of a tenancy and other specialist policies that cover a multitude of sins. I Am The Agent, the leading online estate agency, takes a look at the key things to consider when buying landlord insurance.

·         Specialist Policies

Do not rely on your standard home insurance when you are letting a property  – your policy could be rendered completely invalid if you don’t inform your insurance providers that the property in question has been let to a tenant. You could end up with no protection at all! Specialist landlord insurance policies have been created specifically because of the unique challenges that landlords face.

·         Buildings AND Contents

As a landlord, you’ll need to get buildings insurance as standard – but many landlords shun contents insurance entirely, especially if they’re letting a property unfurnished. This is entirely the choice of every individual landlord, but the recommendation here from the lettings experts is to at least consider fixtures and fittings insurance – so you won’t need to go replacing damaged carpets and curtains out of your own pocket every time a tenancy ends.

·         Smallprint

We’ve all been in the situation where we’re handed a 20-page policy packed with complex terminology and property jargon – it can be tempting to push it to one side and assume everything will be fine. But it’s crucial to read the smallprint on any insurance policy – it could bring to attention certain rules and regulations that could invalidate your policy if you don’t adhere to them.

·         Added Extras

Many providers will offer invaluable services to landlords, such as rent guarantees or emergency cover. Look for a provider that will cover your buildings and contents insurance as well as these added extras – you’ll be protected on all fronts and you won’t be dealing with multiple providers.