What does landlord insurance cover?
Landlord insurance typically covers damage to your rental property, loss of rental income, and legal liability if someone is injured on-site. Policies can include extras like contents cover, emergency repairs, and legal support—depending on the level of protection you choose.
Renting out property isn’t without risk. Storms, fires, broken boilers, legal disputes—it only takes one issue to cause thousands of pounds in damage or lost income. That’s why landlord insurance exists. Unlike standard home insurance, it’s designed specifically to cover the risks that come with letting property to tenants.
But not all policies are created equal. Some provide basic buildings insurance and nothing more. Others include cover for loss of rent, accidental damage, and even the cost of rehousing tenants after major incidents. If you’re a multi-property landlord or managing a block of flats, the need for tailored cover is even greater.
In this guide, we’ll break down what landlord insurance typically covers, what’s optional, and what’s often excluded—so you can make sure your property and income are properly protected.
What is landlord insurance and why do you need it?
Landlord insurance is a specialist policy that protects property owners who rent to tenants. It covers risks like property damage, loss of rental income, and liability if someone is injured on the premises—offering protection that standard home insurance does not.
If you’re renting out property—even just a single flat—you need insurance that reflects your role not as a resident, but as a landlord. Most standard home insurance policies become invalid the moment tenants move in, leaving you unprotected when it matters most.
Landlord insurance bridges that gap. It provides financial cover for incidents unique to rental properties: a burst pipe that forces tenants to move out, accidental damage to a fitted kitchen, or legal claims following an injury on-site. It’s not just about the building—it’s about your income, responsibilities, and liability.
Why is it important? Because things go wrong. Tenants miss rent. Boilers break. Legal disputes happen. If you’re not insured, you’re personally exposed. And if your mortgage provider requires cover—as many do—you risk breaching the terms of your loan without it.
Whether you’re a buy-to-let investor or a DSS landlord, a tailored policy is essential protection—not a luxury.
Related Read: What Is Landlord Insurance?
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Get QuotesWhat’s typically included in a landlord insurance policy?
Most landlord insurance policies include buildings insurance, liability cover, and protection against loss of rent. Optional extras can include contents cover, accidental damage, and legal expenses—depending on your needs as a landlord.
What’s included in a landlord policy varies between providers—but most will start with the basics: the bricks and mortar. Buildings insurance is usually the core of any policy, covering structural damage from fire, flood, storms, or vandalism. If your rental property becomes uninhabitable, this cover also helps with repair or rebuild costs.
Next is property owners’ liability insurance, which protects you if someone is injured in or around the property and you’re held responsible. It could be a tenant tripping on a loose stair carpet or a visitor slipping on a path you failed to grit.
Loss of rent cover is often built in—or available as an add-on—and kicks in if the property can’t be let due to insured damage. Some insurers also offer cover for alternative accommodation if you’re responsible for housing the tenant elsewhere while repairs are underway.
Let’s break this down:
| Cover Type | What It Protects |
|---|---|
| Buildings Insurance | Structure of the property (walls, roof, fixtures) against insured events |
| Property Owners’ Liability | Legal claims if someone is injured on or due to the property |
| Loss of Rent | Rental income lost if property becomes uninhabitable |
| Landlord Contents Insurance | Furniture, white goods, and appliances if you let the property furnished |
| Accidental Damage | One-off incidents caused by tenants or guests (e.g. broken window) |
| Legal Expenses Cover | Cost of legal disputes (e.g. evictions, tenant claims) |
Every landlord setup is different. If you’re managing an HMO, own a block of flats, or have multiple lets across different regions, you may need a more layered approach—with extras that match the risk and complexity of your properties.
What add-ons or optional cover can you include?
Optional extras in landlord insurance can include cover for tenant rent default, legal disputes, home emergencies, malicious damage, and alternative accommodation. These add-ons help tailor a policy to your property type, tenant profile, and risk exposure.
Not all landlords face the same risks. A single buy-to-let let to working professionals has very different challenges compared to a multi-property landlord with student HMOs. That’s where add-ons come in.
Tenant default insurance is worth considering if your rental income is critical to your cash flow. It covers missed payments when tenants stop paying rent. Note: some insurers require evidence of referencing before activating this cover.
Home emergency cover ensures urgent issues—like boiler breakdowns or burst pipes—are handled quickly. It’s especially useful if you self-manage or don’t have tradespeople on standby.
If your tenants need to vacate after a flood or fire, alternative accommodation cover helps cover their rehousing costs—especially relevant if it’s written into your tenancy agreement.
Some policies also offer:
- Malicious damage by tenants – distinct from accidental damage; important in high-turnover tenancies
- Employers’ liability insurance – essential if you hire staff, such as cleaners or maintenance workers
- Extended legal expenses cover – for eviction proceedings, disputes over deposits, or enforcing tenancy terms
The right combination depends on your setup. If you’re running multiple properties or housing DSS tenants, a baseline policy won’t cut it. Optional extras aren’t just upsells—they’re safeguards against the grey areas standard cover can’t reach.
What isn’t covered by landlord insurance?
Landlord insurance doesn’t usually cover tenant belongings, routine maintenance, wear and tear, or damage caused by neglect. Most policies also exclude unoccupied properties unless specialist cover is added.
It’s easy to assume your landlord policy covers anything that goes wrong—but that’s rarely the case. Most policies are designed to cover sudden, unexpected events—not issues that arise over time or from lack of upkeep.
Here’s what’s usually excluded:
- Tenant possessions – your policy won’t cover their laptops, clothes, or valuables. That’s what tenants’ contents insurance is for.
- Wear and tear – gradual deterioration (like worn carpets or flaky paint) isn’t covered.
- Maintenance issues – if a boiler fails due to lack of servicing, your claim may be denied.
- Negligence – if damage occurs because of something you ignored (e.g. faulty wiring left unfixed), you may be liable.
- Long-term unoccupancy – if your property is empty for more than 30 or 60 days, standard cover often lapses. You may need a specialist unoccupied landlord policy.
It’s also worth checking how your policy defines accidental damage versus malicious damage, as some insurers treat them separately—particularly when tenants are involved.
If you’re unsure, always read the exclusions section carefully. Or better yet, ask your broker or provider to explain where the gaps are—especially if you’re a DSS landlord or dealing with high-turnover tenants.
What would your policy cover?
Landlord insurance only proves its worth when things go wrong. Here’s what that might actually look like in practice.
Imagine this.
You get a call from your letting agent at 7am—there’s water pouring through the ceiling of your top-floor flat. A pipe’s burst. The kitchen ceiling is saturated, the tenant’s fridge is soaked, and the property is now uninhabitable. Repairs will take weeks.
This is where your cover steps in.
Your buildings insurance covers the pipe repair and structural damage. If the property was let furnished, landlord contents insurance might replace the damaged fridge. And if your policy includes loss of rent cover, you’re compensated while the tenant temporarily moves out.
That’s a good outcome. But here’s another.
A tenant falls down the stairs and fractures their wrist after grabbing a handrail that had been loose for weeks. They claim you knew about it. Now they’re seeking compensation.
If you’ve got property owners’ liability cover, it’s your legal shield. It’ll pay for legal advice, defence, and any settlement if you’re found liable. Without it? You’re paying out of pocket—and that can easily run into thousands.
Then there’s fire. Say you’re managing a shared house (an HMO), and a fire breaks out in the kitchen. No one’s hurt, but the entire floor is uninhabitable. You’ll need to rebuild, rehouse your tenants, and potentially lose rental income in the meantime. A well-built policy covers all of that.
These aren’t horror stories—they’re Tuesday mornings for many landlords. Insurance doesn’t prevent them from happening. But it does mean you’re not financially flattened when they do.
How to choose the right level of landlord cover
There’s no such thing as a one-size-fits-all policy. The right landlord insurance depends on your property type, your tenants, and your appetite for risk.
Start by thinking beyond just price. A cheap policy might feel like a win—until you discover it doesn’t cover loss of rent when the boiler floods the downstairs flat. It’s not about over-insuring either. It’s about being realistic.
Ask yourself:
- Could you afford a month without rental income?
- Do you let the property furnished?
- Are your tenants students, professionals, or claiming housing benefits?
- Do you manage repairs yourself—or rely on emergency callouts?
Each answer points to different priorities. If you’re renting a furnished flat to professionals, contents and accidental damage cover might be worth the small premium. If you’re letting a block of flats or multiple HMOs, legal expenses and loss of rent cover may need to be non-negotiables.
It also depends on how involved you are. If you’re a portfolio landlord with a letting agent on speed dial, you might be looking for admin efficiency and premium service. But if you’re self-managing your first buy-to-let, you need simplicity, strong core protection, and a clear claims process.
Ultimately, the best policy isn’t the one with the most features. It’s the one that pays out exactly when you need it—without gaps, surprises, or long email chains.
Related Read: How Much Is Landlord Insurance?
Final thoughts
There’s a reason landlord insurance isn’t sold off-the-shelf—it has to match the property, the tenant, and the reality of letting.
Whether you’re covering a single buy-to-let or managing a portfolio of HMOs, the right policy protects more than just bricks and mortar. It cushions your income. It shields you from legal claims. And it buys you time when things go wrong.
But here’s the thing: what’s “right” for one landlord won’t suit another. A fully furnished city flat with young professionals needs different protection than a rural terrace let to housing benefit tenants. And if your property is empty between lets, you’ll need to think about specialist cover too.
So don’t treat insurance like a checkbox. Understand what you need, what you’re risking, and what your policy actually covers. The difference between a smooth claims process and a financial headache often comes down to one small clause—or one overlooked add-on.
Take your time. Ask questions. Compare properly. Because when the unexpected hits—and it often does—landlord insurance isn’t just about recovery. It’s about resilience.
Frequently Asked Questions (FAQs)
Not usually. Boiler breakdowns are considered maintenance issues and are typically excluded unless you add home emergency cover to your policy.
No. Accidental damage is often an optional extra. Some policies include it by default, but many require you to add it manually—especially for tenant-caused damage.
It depends on the insurer. Some policies exclude pet damage entirely, while others offer limited protection if the pet was declared and authorised in the tenancy agreement.
Standard landlord insurance may lapse if the property is empty for more than 30 or 60 days. You’ll need unoccupied property insurance to stay protected during long void periods.
No. Landlord insurance only covers financial risks. It doesn’t provide or include letting or property management services—you’ll need to arrange those separately.
No. Your policy only covers items you own as the landlord. Tenants must take out their own contents insurance to protect their personal possessions.
Generally, no. Insurers do not allow retrospective cover. You must arrange insurance before a loss or incident occurs for it to be valid.
Typically not. Most loss of rent cover applies only when the property becomes uninhabitable due to insured damage—not if a tenant leaves early or breaks the lease.