As a landlord accidental damage insurance will cover you from having to shoulder the full cost of damage caused by these unforeseen events. Many insurance companies will offer you accidental damage cover as part of a landlord insurance quote.
The definition of an accidental damage being used here is - Damage resulting from an unexpected and non deliberate external action - So things that are not included will generally be:
- Wear and tear
- Vandalism or malicious
- Damage resulting from knowingly reckless behaviour
- DIY or cleaning related accidents
DIY related accidents are an interesting case as some insurers will be willing to accept certain kinds of accidents, such as accidently bursting a water pipe with a nail, while others will not accept any claims like this. If your tenants have a young family, it can be a very wise move to make sure that an accidental damage cover is in place. The majority of accidental damage claims are a result of the actions of children and involve broken TVs and stereos as well as damage to furniture and carpets.
Damage caused by animals is another interesting point to bear in mind when looking at landlord insurance quotes. Accidental damage cover is not usually extended to the actions of domestic pets, such as chewing, tearing and scratching, but most will cover damage caused by vermin and other infestations.
When it comes to accidental damage if you are a you may want to consider both landlord's buildings and contents insurance depending on your circumstances.
This type of policy will cover the buildings physical structure as well as permanent fixtures such as; ceiling lights, bathtubs and showers. If an insured event was to destroy the property it should also cover the cost clearing the land and rebuilding the property.
If you rent a property as fully or partially furnished then this level of cover should protect the items such as; sofas, carpets and appliances from accidental damage. When looking at policies which offer indemnity or ‘New for old’ choices.
With an indemnity policy when the insurer calculates your payout for a claim they will take into consideration any potential wear and tear that would have occurred since the time of purchase of each item as well as other factors that would cause a depreciation in value, so you may be paid less than the amount you purchased an item for.
‘New for old’ old policies will do just as they say and replace each item you make a claim for with brand new versions. As a result of this a new for old policy might be more expensive.