Landlord Insurance can be a complicated product. The industry is bound by specific regulations and laws relating to specific circumstances and technical loopholes. Eagle Protect believes in simplifying the process of obtaining Landlord Insurance and ensuring that your property is covered for exactly what you need.
Insurance and the industry itself is often given a bad rap – policies that don’t pay out when landlords need it or finding that your coverage is more limited than you might expect. We’ve created an easy-to-understand guide covering some of the common concerns landlords encounter when arranging landlord insurance.
Myth 1 – It’s too expensive
Given that clients will already have home insurance on the building, adding in landlord insurance to ensure adequate protection can feel like an expensive insurance policy on top of another. Eagle Protect is only available to agents, which keeps the cost at $449 pa, while providing a tailored solution. Read more about our costs and benefits here.
Myth 2 – The policy won’t pay on claims lodged
We know that the claims process is when you need our help the most. Our dedicated claims team take a professional and structured approach to ensure that your claims are managed proactively, fairly and swiftly through to a positive resolution.
At Eagle Protect, we have a simple and straightforward claims process:
- Remember Safety first – Only enter damaged buildings if it is safe to do so. Do not enter flood waters and always follow directions of emergency services.
- Minimise your loss – You are required to take reasonable steps to prevent further damage, like emergency repairs.
- Submit a claim – Contact Helen from our claims team as soon as possible to lodge a claim and to receive further instructions for documents required
- Create a List – Create a list of damaged or lost items. If there are items that could be a health hazard please contact us urgently to arrange instructions for disposal.
- Work with your assessor – large losses will involve an appointment from an insurance assessor. They will investigate the extent of the loss or damage and they will then arrange for a builder or tradesman to quote on the damage.
- Quotes, reports scopes of work – You may be asked to source your own quotes for repairs and obtain a report stating the cause of the damage.
- Repairs, replacement, settlement –Many insurers have preferred suppliers of repair and building services, however for smaller losses, one quote and causation report will be suffice.
Myth 3 – Pet damage isn’t covered
Tenants pets can cause damage, even with the tenants’ best intention, and many policies and tenancies prefer tenants not keep pets for this reason. Eagle Protect covers damage to contents and building up to $2,500 caused by a tenant’s domestic pet kept at the property, even if the pets aren’t named on the lease.
Myth 4 – Tenant Damage isn’t always covered
Within limits outlined in the PDS, Eagle Protect covers a wide range of damage to the property – more than most policies. Cover includes:
- Accidental and intentional tenant damage.
- Malicious tenant damage.
- Water damage and fire damage.
Myth 5 – Drug Lab clean up won’t be covered
It’s a landlord’s worst nightmare to have to arrange the clean-up from a drug lab or drug-contaminated property. The Eagle Protect policy covers damage to contents and building caused by meth labs and hydroponic set-ups. We’ll also cover the loss of rent during repairs when a property is uninhabitable following tenant damage or insured events.
Myth 6 – The building is covered under the body corporate insurance.
Body corporate insurance covers the building itself and common areas like lifts, lobbies, and residents’ facilities. However, that cover ends within the home itself – for example, body corporate insurance won’t cover damage within the home or if someone injures themselves inside.
Myth 7 – It’s unnecessary, and I won’t make a claim. Besides, I already have home insurance.
The unfortunate reality of owning a residential property and leasing it out to tenants is that there is a certain level of risk, and accidents can happen. Your investment and your capacity to earn income from that investment needs to be protected. Eagle Protect is locally based too, so in the event you do need to make a claim, we’re here and ready to help you through the process at every step.
Myth 8 – I have a good tenant, so I don’t need insurance
Tenant default is a real risk. Unexpected events can impose financial hardship on tenants, and rental payments can suffer as a result. While it has a limit, Eagle Protect’s policies offer protection during hardship and when a tenant stops paying rent or has left the tenancy unexpectedly. The Eagle Protect policy also covers changing locks if the tenant is evicted by the sheriff or bailiff, and can also cover court and legal expenses for claims of loss of rent.
*We take all appropriate precautions to ensure the information above is correct at the time of publishing, but changes in circumstances may impact the accuracy of this article. Always consult the Product Disclosure Statement before taking out insurance policies.