Is landlord insurance a legal requirement in the UK?

The gov.uk list of landlord responsibilities does not include insurance. In practice, buy-to-let mortgage lenders generally ask for proof of buildings insurance and set minimum cover levels in their terms.

Is loss of rent the same as rent protection?

No. Loss of rent pays for lost income while the property cannot be lived in after an insured event like a fire, and is often part of buildings cover. Rent protection pays when a tenant stops paying and is usually an optional extra.

Does landlord contents cover protect my tenants' belongings?

No. Landlord contents cover only applies to items the landlord owns, such as furniture or carpets provided with the let. Tenants need their own contents policy for their things.

Do I need to tell my insurer if the property is empty between tenants?

Check your policy wording. Many policies limit cover once a property has been empty for a set number of days, so tell your insurer or broker about empty periods and read how the policy defines an empty property.

Can a broker get me a landlord insurance quote for an HMO?

Yes, specialist brokers handle HMO landlord cover. Give them the number of tenants and households and your licence details so the quote reflects how the property is really let.

Home

Landlord insurance cost: what sets the price and what to check

There is no fixed price for landlord insurance. Tenants, rebuild cost, excess and add-ons set it. See what you can change and what to check.

There is no fixed price for landlord insurance, because every insurer sets its own premium from the property, the tenants, the cover you choose and your claims history. What you can control is how accurately you describe the let, how much cover you ask for and which extras you add, and those choices decide both the price and whether the policy pays out when something goes wrong.

The rest of this guide covers what pushes the price up or down, the steps a landlord can take before asking for quotes, and the gaps that tend to hide inside a low premium.

How much does landlord insurance cost in the UK?

Nobody can give you an honest single figure for your property before an insurer has rated it. Two similar houses on the same street can be priced differently because one is let to a family and the other to five sharers, or because one landlord has had a recent escape of water claim.

Which? lists the main factors as your claims history, the location and type of property, the number of tenants and the level of excess you choose. On top of the premium, most general insurance carries Insurance Premium Tax, and the standard rate is 12%.

A landlord policy is built from parts, and each part adds to the cost:

Buildings cover for the structure, usually including fire, flood, theft and malicious damage.
Contents cover for items you own and leave in the property, not the tenants' belongings.
Property owner's liability if a tenant or visitor is hurt and blames the condition of the property.
Optional extras such as rent protection, legal expenses and accidental damage.

What makes landlord insurance cheaper or dearer?

Some factors are fixed. Others you can change, or at least present properly, before you ask for a quote.

Factor	Why it moves the price	Can you change it?
Location	Flood, subsidence and crime risk vary by postcode	No
Property type and age	Construction, size and listed status change rebuild costs	No
Rebuild value	A higher sum insured means a higher premium	Yes, by getting it right rather than guessing
Tenant type and number	More occupants or shared housing can mean more wear and more risk	Only by declaring it accurately
Empty periods	Unoccupied homes face higher theft, vandalism and escape of water risk	Partly, by planning voids and checking limits
Excess	A higher excess usually lowers the premium	Yes
Add-ons	Each extra section adds cost	Yes
Claims history	Recent claims usually raise prices	Not in the short term

How to get a lower landlord insurance quote without leaving gaps

These are the things landlords most often adjust before asking for quotes. None of them is certain to lower the price, but each one makes the quote match the real risk.

Work out the rebuild cost, not the market value. Buildings cover is based on the cost of rebuilding from the ground up, which Which? notes is likely to differ from the market value. The ABI's free rebuild cost calculator gives general guidance for houses and some types of flats. A figure that is too high costs you every year, and one that is too low can leave you short after a big claim. Listed or unusual buildings may need a professional valuation.
Describe your tenants exactly as they are. Insurers ask who lives in the property and how many tenants there are, and the answers feed into the price. A quote based on the wrong tenant type may look lower, but it can give the insurer grounds to reduce or refuse a claim.
Check the unoccupancy limit against how you actually let. Many policies restrict cover after the property has been empty for a set number of days. If you usually have a few weeks between tenancies, or plan a refurbishment, make sure the limit fits.
Choose an excess you could afford to pay. For example, raising a £250 excess to £500 might lower the premium, but you would then pay the first £500 of every claim yourself.
Drop add-ons you genuinely do not use. If the property is let unfurnished, you may need far less contents cover. If you already have legal expenses cover elsewhere, check you are not paying for it twice.
Keep the property in good order. A well-kept property is less likely to lead to claims, and gov.uk sets out landlord safety duties such as keeping gas and electrical equipment safely installed and maintained and fitting and testing smoke and carbon monoxide alarms.
Ask about landlord accreditation. Which? notes that membership of an accreditation scheme may qualify you for a discount with some insurers.

Why the lowest price can leave gaps

The lowest quote is often low because it covers less. These are the gaps worth checking line by line.

Loss of rent is not rent protection

Loss of rent pays for the income you lose while the property cannot be lived in after an insured event, such as a fire. It is often included with buildings cover. Rent protection is different: it pays when a tenant stops paying, and it is usually an optional extra. A basic policy may have the first and not the second.

Empty property exclusions

The Financial Ombudsman has published case studies about empty homes. In one of them, an insurer refused a fire claim on a house being renovated before letting, saying it had been unoccupied for over 30 days. The Ombudsman told the insurer to pay because the policy did not define "left unoccupied" and there was clear evidence of regular visits and work. The point to take from it is to read how your own policy defines an empty property and what it expects while the property is empty.

HMOs that are not declared

On gov.uk, a house in multiple occupation is a property rented by at least 3 people who are not from 1 household and who share facilities like a kitchen or bathroom. A large HMO, rented to 5 or more people forming more than 1 household, needs a licence in England and Wales, and renting one out without a licence can mean an unlimited fine. Councils can require licences for smaller properties too. A standard single-let policy may not cover an HMO, so the number of tenants and households needs to be on the quote.

Flood cover

Flood Re helps keep flood cover available for many homes, but its eligibility rules include a test about who lives in the property and exclude homes built from 1 January 2009. Not every let property will qualify, so in a flood risk area check carefully what the flood section of a landlord policy says.

Do landlords have to have insurance?

The gov.uk list of landlord responsibilities does not include insurance. It does say that if you have a mortgage on the property, you must get your lender's permission to rent it out. Which? explains that you generally won't get a buy-to-let mortgage without proof of buildings insurance, and lenders set minimum cover levels in their terms. A standard home policy is written for owner-occupiers, so telling your insurer that the property is now let matters. If the property is a second home you sometimes let to holidaymakers, the rules differ again, as covered in holiday home insurance vs home insurance.

Landlord insurance quote UK: what to have ready

Whether you want a landlord home insurance quote for one flat or a landlord policy insurance quote for several properties, having these details ready makes the quote accurate:

The full address, property type, year built and number of bedrooms.
The rebuild cost, and how you worked it out.
Who the tenants are, how many there are, how many households, and the type of tenancy.
Whether the property is furnished, and the value of anything you own in it.
Any HMO or selective licence held.
How long the property is usually empty between lets.
Your claims history over recent years.
The excess you would be comfortable paying and the extras you want, such as rent protection or legal expenses.

With Kompare, you can get home insurance quotes by filling in a short form, and a specialist FCA-authorised broker from the panel contacts you with quotes. The broker can talk through the cover sections above so you can compare what each policy includes, not just the premium. For more background on the cover itself, see our guide to landlord insurance.