Cheap multi property landlord insurance
Covering five or more properties, cheap multi property landlord insurance
offers innumerable advantages to the landlord. Underwritten, by SAGIC (Salvation Army
General Insurance Company)the policy is one
of the best on the market, being 5* rated with defaqto. It has advantages
over single-property insurance with cheaper rates and easy administration. It
can cover a wide range of tenants, property that have a flood or subsidence
risk (subject to underwriting) - and a wide range of optional excesses are
available to reduce the price further.
The standard policy has a £75.00 excess for most damage, increased to £350 for
escape of water and £1,000 for subsidence. One advantage is that the
landlord can choose the appropriate excess for their best advantage and
benefit from cheaper premiums by increasing the amount. Discounts
of up to 30% are available
Standard policy excess : £75.00 (escape
of water £350.00, subsidence £1,000.00)
£100.00 : 5% cheaper
£150.00 : 10% cheaper
£200.00 : 15% cheaper
£250.00 : 20% cheaper
£500.00 : 25% cheaper - the escape of
water excess increases to £500.00
£1000.00: 30% cheaper - the escape of
water excess increases to £1000.00
Note that there is a minimum premium per
house insured, so taking a large excess may not result in the full premium
Under the policy, all properties will have the same excess applied.
Under NO circumstances should the landlord
reduce the sum insured on the house below the reinstatement cost.
Save money on insuring multiple houses.
Advantages of multi property landlord insurance
There are some advntages with a multi property
landlord insurance policy, over having several single property policies. As a landlord expands their property
portfolio, completion dates are unlikely to occur at the same time each year,
which means that they have to keep track of multiple insurance policies - one for each
home. Furthermore the insurance broker has to administer several policies, send out renewal notices etc. In addition the landlord may have
different policies with other Brokers: property of non-standard
construction e.g. felt roofs, may be insured with one broker and normal
property with another.
Having a single, cheap multi property landlord insurance
policy removes these difficulties with the following advantages
Only one renewal date for the portfolio.
Only one insurance broker.
Easy addition (or removal) of one or
from the policy due to acquisitions or dispersals
The broker also only has one policy to be
concerned about . With all the data together it is
easier to look for alternative quotations and this reduces
administrative overheads (it also makes it easier for the underwriter)
The landlord benefits from this reduction
in administration costs as the broker can pass on savings in cheaper
Whilst the inherent underwriting terms are
the same there are
additional factors designed to make the premium cheaper.
One administration fee (based on the
number of properties covered) at a reduced rate rather than one fee on
Reduced minimum premiums for buildings
Premium based on overall claims
experience of the risk. Each property added on benefits immediately from
the overall claims experience discount, rather than starting off with no
Non-Standard property (location or
construction e.g flat roofs) can also be covered - subject to referral.
Virtually any classification can be covered, no matter the type of tenants -
although the premium will depend on the type of tenant. The following are
the main classes.
Assured Shorthold tenancy Agreement
between Landlord and tenant - tenant pays in full from income
The most common tenancy for the new landlord
- and the cheapest/ safest. We call this a 'professional
As above but the - tenant receives an
amount to pay the landord e.g. universal credit or the landlord is paid
direct by a third party.
The key point is
the Landlord or their agent controls who occupies the house. We call this a 'subsidised
let'. we rate
this the same.
DSS lets - the contract is between
the Landlord and another agency e.g. council - which has control over who occupies
Tenants may change regularly and
short term. We call this a 'DSS
lack of control is a factor in the increased premium. See below for
property occupied by asylum seekers.
Houses let to students - can be multiple
Students may only be in for a
year and the house may be vacant when they are down. We call this a 'Student let.The landlord
will have to make regular checks if the house is vacant between terms.
Bedsits and Houses of Multiple Occupancy
Multiple tenants may cause multiple
problems especially if they are in for short period. We differ between
professional bedsits - when the landlord controls the tenants, and
bedsits where occupancy is under the control of a third party. HMOs need a licence from the local council.
Houses occupied by asylum seekers.
Tenants may change regularly and
short term. We call this a 'Landlord
Insurance for Asylum seekers. Note that we only accept risks where
the agreement is between the landlord and a suitable approved agency -
charities are not acceptable.
Holiday Homes. (COVID-10 Permitting!)
The home may be used for
policyholder and faily or for
Premiums vary between the two classes and
the contents in a holiday home used by the landlord and their family
will be better and more extensive than those provided for
Unoccupied or vacant property:
Includes property that is between tenants, being renovated or
refurbished, or in the process of being sold
The amount of cover provided will vary on
the nature of the unoccupancy.
Main Sections of the multi property landlord
The building itself:
"Your property including garages, sheds, greenhouses and
other domestic outbuildings, and landlordsí
fixtures and fittings
therein and thereon, paved terraces, patios, drives, paths, walls, gates
sunken swimming pools, fishponds and ornamental ponds and
hard tennis courts, on the site of your
property.- also fixtures and
fittings as well as outbuildings on the premises."
The contents that belong to the landlord:
Fixtures and fittings (not forming a permanent part
of the structure), household goods, furniture, furnishings
to you or for which you are responsible as landlord subject to the
(a) Stock and materials in trade.
(b) Deeds, bills of
exchange, promissory notes, cheques, securities for money, share
documents of any kind.
Property more specifically insured.
(e) Business books, plans,
specifications, designs and computer records.
Note that this excludes contents belonging to the occupants
Public/ property owner's liability: -
covers loss or damage caused by the negligence of the landlord e.g. if a
chimney-stack collapsed damaging a car, and it was found that the
landlord had failed to undertake regular checks or had been advised it
was in a dangerous state and did nothing.
Loss of Rent: - defined as : -
"The cost of comparable alternative accommodation or loss of rent
receivable for the period that the buildings are uninhabitable in
consequence of damage due to an Insured event or accidental damage (if
This extension is subject to a maximum limit of 20%
of sums insured on buildings as shown in your Schedule."
Decent policies provide this cover as standard. This
does NOT mean that loss of rent due to the unwillingness of the tenant
to pay is covered.
In addition, a landlord may need
Legal Expenses Insurance: policy cover
Rent Guarantee Insurance: When available,
this would have to be arranged on a bespoke basis depending on the
tenant at each property. References would have to be taken.-
Our policy is one of the
best available (5* with defaqto). Advantages are that it offers protection against: -
Fire, smoke, lightning, explosion and earthquake
Storm or flood
Riot, civil commotion, strke, Labour or political
disturbance, malicious persons or vandals
Subsidence or heave of the site beneath the
buildings or Landslip causing the buildings or part of it to collapse
Escape of water or oil from any fixed water or
heating installation or domestic appliance
Freezing of domestic water and heating
installations resulting indamage thereto
Theft or attempted theft
Impact involving an aircraft, aerial device or
anything falling from them or by a train, vehicle or animal
Brekage or collapse of satellite dishes,
receiving aerials, and their fittings or masts
falling trees, branches, telegraph poles or lamp
posts including the cost of removing any that cause damage to the
Accidental damage to underground pipes and cables
supplying the building
Accidental breakage of fixed glass, solar panels,
ceramic hobsor tops in fixed units andsanitary ware
Damage caused by forced access to attend a
medical emergency or an event that would result in damage to the house
by one of the above causes
Cover of property from exchange of contracts
Cost of replacing locks and keys to external
doors, alarm systems or safe due to the keys being accidentally lost or
Trace and access to find cause of damage of
property due to an escape of water
Cost of reinstatement to comply with EU and
Public Authority bye-laws
Any newly acquired and or newly erected buildings
that aren't otherwise insured
Unauthorised use of electricity, gas or water
Removal of bee,wasp, and hornet nests
Costs incurred removing property illegally
deposited in or around the property
Costs incurred following damage in respectof the
removal of tenants debris
Accidental damage (if additional premium paid)
Note that there are limitations, conditions and exclusions applying to the above cover - for full details see
the policy document.
Terms may be available for houses that are
located in areas of increased flood
or subsidence risk. The cover provided
will depend on submission of a proposal form to underwriters. We will use
our best endeavours but we cannot
guarantee that cover for subsidence or flood will be provided. If it is then
a substantially increased excess will apply.
Insurance may be available for
houses of non-standard construction i.e. other than built of brick/ stone
and roofed with tiles or slates. Again a proposal will have to be submitted
to underwriters. Properties with a felt or flat roof can be quoted for
online - but note the policy includes the following condition.
Felt and flat Roofs
FELT / FLAT ROOF
Any loss or damage caused
directly or indirectly from a flat or felt portion of the roof will not be
covered unless the roof is inspected once every 2 years by a competent
roofing contractor and any recommendations are implemented immediately.
Please call us to discuss your needs or if
you require assistance obtaining a quotation. Our Direct Line is 01388