Student landlord cover: what it is and why you need it

22nd Feb 2023

Renting out your property to students can be a sound investment, and you’ll likely experience excellent returns throughout the process.

However, renting out to students can be a little complicated sometimes. You must give students a reason to choose your property over purpose-built student accommodation.

One thing that can make the experience run more smoothly is taking out student landlord insurance and implementing an appropriate bill-splitting system.


Do I have to get student landlord insurance?

Student landlord insurance is not mandatory, but it is definitely recommended.

Student landlord insurance covers properties that are rented by students, or HMOs (Houses in Multiple Occupation).

As a landlord with multiple tenants, you run a higher risk of problems and damage to the property.

Before letting your property, you should talk to a professional who can advise you on the insurance plans available.

It’s also important to also create an inventory so you can keep on top of any furniture or belongings being held at the property, and their condition at the beginning of the tenancy.


Why do you need student property landlord insurance?

Student rental properties often require a certain amount of renovation before a tenancy begins, in order to make the property suitable for multiple occupations.

It’s also true that at the end of a tenancy agreement, you might also need to repair unexpected damage to your property. It’s only logical that the more tenants you have, the higher the risk of wear and tear to the property you are running.

Expect to regularly have to redo paint jobs, pay a cleaner to do a deep clean, and upgrade minor aspects of the house. You may also encounter damage to the building too.

Student landlord insurance can prevent you from having to foot the bill yourself before the next batch of student tenants arrive.


What does student landlord insurance typically cover?

Student landlord insurance covers all of the usual risks that come with owning a house, such as fire and storm damage, or damage to the building.

Student landlord insurance also covers accidental damage cover, in some cases even when the students unintentionally damaged the property.

Most student landlord insurance policies also offer malicious damage cover, in the rare case that an aggrieved tenant should seek to harm your property.

There are a few other benefits too.

Student landlord insurance can also include property owner’s liability insurance as an extra, so if your tenant is injured due to damages to the property, you would be covered by additional support.

There are even some policies in place to protect you if you find your property is unoccupied for an extended period of time and you are losing rental income. Particularly handy in case of a pandemic, for example.

Every student landlord’s nightmare is a tenant who defaults on payments  - but even that can be covered by student landlord insurance.

As you can see, the benefits are wide-ranging and policies vary. It’s just a question of finding the right insurance plan for your needs.


What type of student landlord insurance cover suits you?

Landlord building insurance

Covers loss or damage caused to your property, including in case of flood or fire, for example. Some buildings' insurance policies will also cover damage caused by tenants.

Landlord contents insurance

Covers damage to fixtures and fittings that aren’t integral to the structure of the building, such as ovens, fridges, washing machines, beds and sofas. Also protects against damage to floorings.

Landlord portfolio insurance

A good one for landlords who want one cover-all insurance policy for multiple properties.

Home emergency cover

Protects landlords against unexpected costs ranging from cutting new sets of keys, changing locks, boiler and plumbing problems, pest control, power supply issues and drainage systems.

Legal fees

Student landlord insurance covers legal fees incurred in the process of claiming owed rent or tenant damage to the property or furnishings.


How expensive is student landlord insurance?

Student tenants could be considered to be high risk to insurers, due to their lack of income.

You can lower the cost of your premium by carrying out essential repairs and upgrades to your property and installing adequate security systems.

You should only make claims when necessary to avoid an increase in your premium - multiple claims only make the premium more expensive.


Bill-splitting services

Some tenants are naturally more organised than others, whether they are students or not.

Using a bill-splitting service, you can avoid having to chase tenants for bill payments.

This service sets up the utilities on your behalf, pays the bill and then takes a ‘split’ of the bill from each tenant. Guaranteed peace of mind.


If you’d like to know more about how student landlord insurance could benefit you, contact our team of friendly professionals today.