In these uncertain times I thought it important to raise the issue of rent & legal on the basis we are expecting to see an increase in tenants who are unable to meet their rent obligations as the economic crisis worsens and more jobs are lost. The latest data from the Ministry of Justice suggests that the average amount of time to regain possession of a property is over 10 months. This will inevitably increase as the backlog of cases grows.
Underwriters are continually changing the terms & conditions and withdrawing products from the market as the volume of claims increases so please note that the information below is subject to change at short notice.
Rent & Legal Protection (RLP) does exactly what is says on the tin – it pays your rent if your tenant does not and your legal fees to recover possession. Better still, we can include you as having ‘an interest in’ our policy which means that we submit all the paperwork on your behalf should a claim become necessary.
We strongly believe in the benefits of this cover to protect our landlord clients, especially as we look ahead and consider a deteriorating outlook. Policies terms and rates are being withdrawn/changed very rapidly but if you would like to discuss this then please do get in touch with us or your usual insurance broker.
Typically, cover should include:
- Monthly rent paid up to a maximum value equivalent to six months, which includes 2 months at 50% following vacant possession (where applicable) from the date of first arrears
- Legal expenses up to £50,000 to cover eviction costs if the tenant is in breach of their tenancy agreement
- Professional court attendance on your behalf
- Fully transferable to ensure no gaps in cover when tenants change (subject to passing suitable referencing checks)
