Getting the Right Landlord Cover
Make sure you have the right insurance cover as a landlord
Airbnb is an company that allows anybody to rent out their spare room or entire flat to anyone else signed up to the company. The phenomenon has become a favoured method of generating additional income, but be warned: landlords looking to maximise revenue on the property, whether it be a block of flats or a single spare room, are increasingly being caught with the wrong insurance cover for this type of letting.
What insurance is needed?
Insurance policies vary, but most landlord policies stupilate the property to be let on an Assured Shorthold Tenancy (AST) basis. These policies will explicity exclude short-term lets such as those offered by Airbnb.
What if I want to offer short-term lets?
For short-term lets a separate, dedicated holiday let cover will be required. Be cautious - purchasing this cover will almost certainly void your existing landlord policy.
Treat Airbnb with caution as it is not right for all landlords and the potential gains could be dramatically outweighed if the insurance policay does not provide you with the right cover.
The Abaco Team