A plain-English guide for landlords — because flats often involve “who covers what” confusion
Flats are one of the most misunderstood areas of landlord insurance
If you let a flat, you’ll know the conversations often sound like this:
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“Isn’t the building already insured?”
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“Do I need my own buildings policy?”
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“What about the communal hallway?”
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“If there’s a leak from my flat into the one below, whose policy pays?”
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“What happens if the freeholder’s policy isn’t adequate?”
None of these questions are silly. Flats can involve multiple parties and multiple policies, and misunderstandings are common — right up until a claim happens.
Below are the five biggest misunderstandings we see, and how landlords can avoid them.
1) “The freeholder policy covers everything I need”
Many blocks have buildings insurance arranged by the freeholder, management company or residents’ management company.
But that doesn’t automatically mean every landlord exposure is covered.
Common gaps landlords overlook include:
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Your own liability (depending on the arrangement)
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Landlord contents / fixtures & fittings (especially if furnished)
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Loss of rent (if the flat becomes uninhabitable)
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Situations where the block policy’s structure doesn’t match the landlord’s needs
Practical takeaway:
Even if the buildings policy exists, landlords often still need cover around their landlord exposures.
2) “Buildings vs contents is obvious in a flat”
In flats, the line between “buildings” and “contents” can be surprisingly unclear.
Examples that regularly confuse landlords:
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Flooring (especially upgraded flooring)
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Kitchens and bathrooms
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Built-in wardrobes
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Fixtures and fittings provided by the landlord
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White goods or furnished items in a let
If the wrong type of cover is assumed, landlords can end up expecting a policy to respond when it won’t.
Practical takeaway:
Make sure you know what your policy (or the block policy) treats as building elements, and what sits as landlord contents/fixtures.
3) “Communal areas aren’t my concern”
Many claims and disputes in blocks involve communal areas:
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Leaks that travel through multiple flats
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Damage in hallways or stairwells
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Accidents involving visitors or tradespeople
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Shared roofs or drainage
Landlords may assume communal areas are “someone else’s issue” — until there’s a dispute about responsibility.
Practical takeaway:
Understand the basics of who is responsible for the communal areas in your block, and make sure your insurance arrangements reflect your actual responsibilities.
4) “If my flat causes damage to the flat below, it’s automatically covered”
This is a big one.
If a leak from your flat damages another flat, you may be dealing with:
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Your own repairs
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The neighbour’s damages
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Liability questions
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A management company/freeholder process
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The block insurer’s position
Whether this is handled smoothly often depends on:
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How quickly the issue is reported
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What evidence exists (photos, dates, contractor notes)
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Whether the policies involved clearly match the real situation
Practical takeaway:
The fastest way to avoid a drawn-out dispute is good documentation and a policy arrangement that’s accurate.
5) “Flats are simpler than houses to insure”
Sometimes flats are simpler — sometimes they’re not.
Flats can have extra complexity because of:
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Leaseholder vs freeholder responsibilities
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Management company involvement
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Multiple policies and claim routes
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Communal liabilities
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Special terms or exclusions on the block policy
Practical takeaway:
A flat isn’t “automatically easy”. It’s just different — and the insurance needs to reflect that.
How NetRent & Clear can help flat landlords (within clear boundaries)
If you let a flat and you’re not fully confident your insurance set-up makes sense, we can:
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Review your existing policy documents and highlight potential concerns
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Help you understand what you may still need as a landlord, even if there is a block policy
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Arrange quotations through our partner broker, Clear, where appropriate
Claims support clarification:
Clear’s in-house claims support applies only to policies arranged through Clear.
Rebuild values clarification (where relevant):
Landlords (or their agent) must provide correct rebuild values/sums insured basis. Neither NetRent nor Clear can calculate rebuild costs.
Regulatory note
NetRent Insurance Services is a trading name of NetRent Ltd. NetRent Ltd is an Appointed Representative of Clear Insurance Management Ltd, which is authorised and regulated by the Financial Conduct Authority.
This article is general information only and does not constitute advice.
Contact us
Telephone: 01352 721300
Email: insurance@netrent.co.uk
Want a quote comparison for a flat or leasehold rental?
Call or email us and tell us the basics of the property and your renewal date — we’ll take it from there.