A landlord insurance policy may have been right when it was first arranged.

But is it still right today?

That is the question landlords should ask before every renewal.

Rental property changes. Tenant arrangements change. Rebuild costs change. Rent levels change. Portfolios grow. Properties are refurbished. Voids happen. Claims history changes. The insurance market also changes.

A policy that was suitable last year may not automatically be suitable now.

That is why landlord insurance should not simply be renewed out of habit. It should be reviewed properly before the landlord commits for another year.

Renewal does not prove suitability

When a renewal notice arrives, it can create a false sense of reassurance.

The insurer is prepared to renew. The broker has sent the paperwork. The property address is listed. The premium is shown. The policy appears to continue.

But a renewal notice does not prove that the policy is still fit for purpose.

It may simply mean the existing insurer is prepared to offer another year based on the information currently held.

That is not the same as checking whether the cover remains appropriate for the landlord’s current circumstances.

Has anything changed since last year?

A proper renewal review should start with change.

• Has the tenant type changed?
• Has the property been empty?
• Has the rent increased?
• Has the property been refurbished?
• Has the property condition changed?
• Has the landlord added or sold properties?
• Has the property become an HMO?
• Has the sum insured been reviewed?
• Have there been any claims, incidents or problems?
• Are there any material facts that need to be disclosed?

If the answer to any of these questions is yes, the insurance may need to be reviewed carefully.

Even where the answer appears to be no, the landlord should still check whether the policy remains competitive and suitable.

Tenant type matters

Landlord insurance depends heavily on accurate information about occupancy.

A property let to professional tenants may not be treated in the same way as a property let to students, benefit-assisted tenants, company lets, supported living occupants, asylum seeker accommodation or other arrangements.

The issue is not whether one tenant type is better or worse.

The issue is accuracy.

If the tenant type has changed but the insurance has not been updated, the policy may no longer reflect the real risk.

A landlord should not assume this has been checked unless the broker has specifically asked.

Loss of rent cover should be reviewed

For many landlords, rental income is central to the property investment.

If a property cannot be let following an insured event, loss of rent cover may become extremely important.

But the level of cover that was suitable previously may not be suitable now.

Rents may have increased. The landlord’s financial position may have changed. The property may form part of a wider portfolio. The period of cover may need to be considered carefully.

A policy that includes loss of rent is not automatically providing enough loss of rent cover.

That detail matters.

Sums insured should not be ignored

The buildings sum insured is one of the most important figures on the policy.

If it is too low, the landlord may be underinsured. That can create serious problems if there is a major claim.

Rebuild costs can move over time. Labour costs, materials, inflation, property type, construction method and previous improvements can all affect the correct figure.

A sum insured should not simply be carried forward year after year without thought.

Landlords should ask whether it still looks appropriate and whether further review is needed.

Are the excesses still acceptable?

Excesses can change the practical value of a policy.

A lower premium may be attractive, but if the excess is much higher, the landlord needs to understand the trade-off.

Different excesses may apply to different types of claim, including escape of water, subsidence, malicious damage or accidental damage.

A policy may still appear suitable at first glance, but the excess structure may make it less attractive when looked at properly.

Before renewal, landlords should check what they would actually have to pay if a claim arose.

Are exclusions and conditions understood?

A landlord insurance policy may include exclusions, endorsements and conditions that affect how cover applies.

These details can be easy to overlook.

Unoccupancy conditions are a common example. If the property is empty for a period, the landlord may need to follow certain requirements, such as inspections, security measures, heating, draining water systems or notifying the insurer.

If those requirements are not understood, cover may be affected.

A policy is only fit for purpose if the landlord understands the key conditions and can realistically comply with them.

Portfolio landlords need a wider review

For landlords with several properties, the question of suitability becomes even more important.

A portfolio landlord may have different property types, different tenants, different rent levels, different sums insured and different risks across the portfolio.

A policy may look acceptable in total, but individual properties may need closer attention.

A landlord with five, ten, fifteen or more properties should expect their insurance arrangements to be reviewed as a portfolio, not simply renewed as routine paperwork.

The bigger the portfolio, the more important it becomes to check whether the cover still fits.

Is your broker actively reviewing the market?

Suitability is not only about cover.

It is also about whether the landlord is getting the best available price and policy for their circumstances.

A broker should not simply renew last year’s policy without properly considering alternatives.

This is one of the reasons NetRent works with Clear Insurance Management.

Clear do not simply roll landlord policies forward at renewal. They re-broke landlord insurance to help ensure landlords are getting the best available price and policy for their circumstances.

That matters because the renewal process should challenge both the price and the cover.

Why NetRent should review your renewal

NetRent has worked with landlords for 23 years. We understand rental property and the practical issues landlords face when arranging insurance.

We speak to landlords directly, ask the relevant questions and help ensure the information passed to Clear’s dedicated NetRent insurance team is properly considered.

Clear then use their specialist broking expertise to seek appropriate landlord insurance options.

This approach helps landlords avoid renewing blindly, relying on outdated assumptions or accepting a policy that may no longer be the best fit.

Do not wait until a claim to find out

The worst time to discover that a policy is not fit for purpose is after something has gone wrong.

If there is a fire, flood, escape of water, tenant damage, void period or other claim, the policy wording suddenly matters.

So do the excesses, exclusions, conditions, sums insured and disclosures.

By then, it may be too late to correct the problem.

That is why the review needs to happen before renewal.

Contact NetRent before you renew

If your landlord insurance renewal is approaching, do not assume your current policy is still fit for purpose.

Send your renewal to NetRent before you commit.

Let us review what you have been offered. Let us ask the right landlord-specific questions. Let us see whether Clear’s dedicated NetRent team can provide a competitive alternative that properly reflects your property or portfolio.

You may save money. You may improve your cover. You may discover that your current arrangements need closer attention.

But most importantly, you will not be renewing on assumptions.

Call NetRent: 01352 721300
Email: insurance@netrent.co.uk

Before you renew, make sure your landlord insurance is still fit for purpose. Send your renewal to NetRent.