Renters Guarantee Insurance
With the current boom in rental properties some owners have found themselves in difficult situations when their tenants stop paying the rent.
It often feels as though as the owner of the property you are taking many risks and for your tenants to stop paying the rent is just one.
With Rent Guarantee Insurance this risk could be covered to protect the owner's interests.
The owners may have monthly mortgage payments to make and rent guarantee insurance cover helps the owners to redress the balance in their favour.
Your insurance company will bring all its experience to the fore to go through the procedures of evicting your tenant should this become necessary.
These difficult economic times have made things trying for many people and having the security of insurance cover can provide peace of mind for property owners.
Rent arrears can be caused by many factors and most tenants do not go into a property intending to default on the rent.
Despite this rent is often not paid and the landlords have a right to expect the monthly payment.
Landlords need the rent as many have purchased the property on 'buy to let' mortgage which many people have taken advantage of and become landlords of one or more properties.
They have the monthly payments to make to the bank to avoid the property being repossessed.
Forward thinking landlords consider it prudent to take out rent guarantee insurance to protect them should they have rent arrears problems.
This type of policy covers two key points that are essential to a landlord.
The property owners insure against the loss of income should the tenants fall into arrears.
For a slightly higher premium the insurers will pay the rent when the tenant fails to do so.
Credit checks on the tenants may be required by the insurers before they will take on this cover.
Insurers may accept clients that are on benefits but this needs to be checked with your insurance broker.
The second area that the insurers get involved in is to work with landlords to evict tenants if they are clearly unable to pay the arrears and continue to make the monthly payments.
Many landlords may find the policy documents confusing and to ensure that you have the right type of policy for your needs you should consult your insurance broker who will guide you through these documents and make sure that your have the right policy for your property.
It often feels as though as the owner of the property you are taking many risks and for your tenants to stop paying the rent is just one.
With Rent Guarantee Insurance this risk could be covered to protect the owner's interests.
The owners may have monthly mortgage payments to make and rent guarantee insurance cover helps the owners to redress the balance in their favour.
Your insurance company will bring all its experience to the fore to go through the procedures of evicting your tenant should this become necessary.
These difficult economic times have made things trying for many people and having the security of insurance cover can provide peace of mind for property owners.
Rent arrears can be caused by many factors and most tenants do not go into a property intending to default on the rent.
Despite this rent is often not paid and the landlords have a right to expect the monthly payment.
Landlords need the rent as many have purchased the property on 'buy to let' mortgage which many people have taken advantage of and become landlords of one or more properties.
They have the monthly payments to make to the bank to avoid the property being repossessed.
Forward thinking landlords consider it prudent to take out rent guarantee insurance to protect them should they have rent arrears problems.
This type of policy covers two key points that are essential to a landlord.
The property owners insure against the loss of income should the tenants fall into arrears.
For a slightly higher premium the insurers will pay the rent when the tenant fails to do so.
Credit checks on the tenants may be required by the insurers before they will take on this cover.
Insurers may accept clients that are on benefits but this needs to be checked with your insurance broker.
The second area that the insurers get involved in is to work with landlords to evict tenants if they are clearly unable to pay the arrears and continue to make the monthly payments.
Many landlords may find the policy documents confusing and to ensure that you have the right type of policy for your needs you should consult your insurance broker who will guide you through these documents and make sure that your have the right policy for your property.
