A DSS tenant is a term used for a tenant in receipt of benefits such as unemployment benefit, incapacity benefit, etc. DSS actually stands for the Department of Social Security which was the former name of the Department for Work and Pensions. In theory, these tenants should really be called DWP tenants but the term DSS tenants seems to have stuck and is recognised by both landlords and insurers.
Some landlords have trouble when looking for landlord insurance for DSS tenants. Some insurance companies quite simply do not cover any tenants other than working tenants. Here at Ashburnham Insurance, we ensure that all of our companies have the option to house DSS tenants. We even have the ability to cover multiple tenants of this sort, also known as a HMO (House in Multiple Occupation).
In the past, DSS tenants have had a bad name, but it is now common knowledge that a DSS tenant doesn’t mean they are a bad tenant. Some classed as a DSS tenant could be someone like a single mother or a hard-working tenant that has recently been made redundant.
All landlords have their own preference as to what types of tenants they will allow to live at their property which is fine. Many will still not allow DSS tenants for whatever reason but I think that DSS tenants are becoming more and more popular with landlords mainly as the rental income is paid from the council meaning it is as good as guaranteed whereas other types of tenants have an element of risk with the rent not being paid.