Landlord insurance is a vital safeguard, protecting not only your property but also your income and legal standing. But having insurance isn’t enough. It needs to be reviewed regularly to ensure it keeps up with changes in your property, tenants, and legal responsibilities. That’s why Ashburnham Insurance has created a practical annual review checklist for landlords. Below, we break down each key step and explain why it matters.
1) Review Your Insurance Policy
Start by checking the details of your existing policy. Are the sums insured still accurate based on the current value of your building and contents? If you’ve renovated, redecorated, or made any upgrades, you may need to increase your coverage to avoid being underinsured. It’s also important to look out for changes in policy wording or newly introduced exclusions. Insurers sometimes update their terms, and a once-covered situation might now fall outside your policy scope. This simple review can help ensure your insurance remains fit for purpose.
2) Change in Tenants or Property Use
Any change in how your property is used or by whom can impact your insurance. For instance, switching from letting to a single family to renting to multiple unrelated individuals (e.g., as an HMO) alters the risk profile. Likewise, if your property has been unoccupied for a while or used for a different purpose than initially declared, that should be reported. Not notifying your insurer of these changes could invalidate your cover. Always make sure your policy reflects who is living in the property and how it is being used.
3) Property Safety and Maintenance Checks
Good maintenance reduces the likelihood of having to make a claim, and keeping up with safety checks is not just best practice, it’s a legal requirement. Ensure your annual gas safety inspection has been completed and documented. If the property has electrical installations, an EICR (Electrical Installation Condition Report) should be carried out at least every five years. Smoke alarms, carbon monoxide detectors, and fire extinguishers should also be tested and maintained regularly. Staying proactive on safety helps protect your tenants and demonstrates responsible management, which may work in your favour if you ever need to make a claim.
4) Policy Renewal Dates and Auto-Renewals
It’s easy to let insurance roll over each year without checking the finer details. But policy auto-renewals can mean missing out on better deals or more suitable cover elsewhere. Mark your renewal date in the calendar and use it as an opportunity to compare policies or contact your broker for advice. Ashburnham Insurance can help you find a more cost-effective or comprehensive alternative if your needs have changed. Reviewing early also gives you time to amend cover levels or add extras without rushing through decisions.
5) Update Rental Income Figures
Many landlords forget to update the insured amount that covers their rental income. If your rent has increased over the past year due to a new tenancy agreement, market conditions, or improvements to the property, it’s worth checking that your policy reflects this. If your cover includes loss of rent protection, this figure should be accurate to ensure you receive an appropriate payout if your property becomes uninhabitable. An outdated figure could mean a shortfall in compensation, leaving you out of pocket.
6) Legal and Compliance Checks
Landlords are required to meet several legal obligations, which can evolve over time. Each year, it’s worth checking that your Energy Performance Certificate (EPC) is still valid and meets the minimum required rating. Gas and electrical safety certificates should be up-to-date, and any tenancy deposit must be held in a government-approved scheme. If there have been any legal disputes or potential liabilities in the past year, you may also want to consider adding legal expenses cover to your policy. Compliance is essential not only to avoid penalties but to ensure your insurer won’t refuse claims based on a breach of duty.
7) Review Excess Levels and Optional Covers
The level of excess (the amount you pay towards a claim) can often be adjusted. Increasing it may lower your premium, but it must remain affordable should you ever need to claim. This is also a good time to consider additional cover options, such as accidental or malicious damage by tenants, rent guarantee insurance, or home emergency protection. These add-ons can be especially useful if you’ve experienced issues in the past or simply want greater peace of mind going forward. The key is tailoring your cover to reflect your current risk appetite and property circumstances.
Stay Ahead with Ashburnham Insurance
Annual insurance reviews aren’t just a box-ticking exercise; they’re a smart way to manage risk and ensure you’re getting the most appropriate protection for your rental property. With Ashburnham Insurance, landlords have access to expert guidance, flexible policies, and a real person at the end of the phone. Whether you manage one property or a portfolio, taking the time to review your insurance each year can prevent costly problems later.
To get expert advice or to make changes to your landlord insurance policy, visit ashburnham-insurance.co.uk or call FREEPHONE 0800 1696137.