Home insurance can be an expensive outlay that most people simply accept. However buy to let property insurance is often overlooked by buy to let landlords due to the costs involved. But there are some simple ways to keep this extra cost to a minimum. Here is how:

What does buy to let property insurance cover?

You want to understand what a buy to let property insurance policy covers so you know how much risk you must accept should something go wrong. Below is a list of what most policies usually include:

The buy to let property - Buy to let property insurance pays to rebuild or repair your home after it's been damaged by fire, water leaks, vandalism, lightning, frozen pipes, ice, snow, and storms. It is worth checking the policy closely as properties in some areas require extra cover (for example if they are in an area of particularly low land on a flood plain).

Landlord Liability - It pays for liability claims and your legal fees when you're found liable for injuring someone, like if a tenant is injured as a result of the property being in a state of disrepair.

Shop around for he best quotes

The best place to look for buy to let property insurance is online. Here you have access to many thousands of policies and can use some of the many sites that compare policies and find you the best deals.

Now, thanks to insurance comparison websites, you can get quotes from a number of different companies without having to go from one company website to the next and fill out one form after another.

How to lower your premiums even more

Once you have chosen the company with the best rate, you can lower your premium even further by following these tips:

Don't insure the land

Many people make the mistake of insuring their buy to let property to the value they paid for it. In fact you should only insure the rebuild cost. The sale price often used will include the value of the land on which the property sits as well as some goodwill for the fact that the property is built and fully functioning. The best way is to ask a local builder for a rebuild valuation.

Accept a higher excess

Usually property insurance policies with a higher excess are cheaper. If you are confident that claims will be few and far between then it may pay to accept a higher excess in exchange for a lower premium.



Article Source: http://EzineArticles.com/?expert=James_McKerr

Buy to let property insurance is a unique insurance product designed specifically fr landlord renting out properties on short hold tenancy agreements. Choosing this kind of specific buy to let insurance is an absolute must for anyone considering becoming a buy to let landlord.

By having a regular domestic property insurance policy (not specific buy to let property insurance) can leave you not covered adequately should something go wrong. One example of the difference between a regular and buy to let policy is the amount of time you are allowed to have the property unoccupied. With many domestic policies you'll be covered if you leave your property unoccupied for a short period such as 3 weeks, for example if you go away on holiday. However when renting your property, the time between one tenant moving out and another moving in can in certain circumstances turn into several weeks or months. This covers you for longer periods such as this.

Imagine you are letting a property out, the tenant moves out. While you letting agent is searching for a new tenant for you something happens such a subsidence over the period of a few days, causing the place to fall down. Imagine the horror when you discover that because you property insurance is not buy to let specific, you are not covered! Yes this might be a far fetched example, however it illustrates what may happen if you do not upgrade your policy to buy to let property insurance.

For the sake of a phone call and a slightly higher premium, this can save you thousands in the long run.



Article Source: http://EzineArticles.com/?expert=James_McKerr