HMO Landlord Insurance: What is needed?

HMO landlord insurance is for landlords who rent houses in multiple occupation. The terms are slightly different from typical landlord insurance as the property must be registered as an HMO in order to get HMO insurance.

A HMO property is of higher risk than a standard let as there are multiple occupants, it is required that the property is the occupant’s main place of residence or must be occupied by students during term time. If a property becomes unoccupied, it must be insured as such.

The prices of HMO landlord insurance policies can vary depending on location, type of tenants among several other factors.

Typical covers apply, such as buildings, contents, and property owner’s liability. Additionally, cover such as loss of rent can be applied, which covers you for the rent you would have missed out on if damage has occurred to the property due to an insured peril, like a fire or flood, and the building is inhabitable to tenants while repairs are carried out. Loss of rent cover does come as standard in several policies and is not the same as rent guarantee cover, which covers the loss you may face if tenants default on payments.

Additions such as malicious damage are not likely to be included as standard, but if this is something that you are worried about, speak to your adviser to look into getting this covered.

Looking for HMO Landlord Insurance? Get in touch today!