Landlords can now be covered against rental income default
AN insurance product for landlords to cover them against rental income default has been launched.
The move is set to appeal to some of the estimated 300,000 landlords in this country.
Irish insurance brokerage InsurePlus has launched RentAssured.ie has launched the specialist product for landlords to cover them against rent default.
It is offering to cover against default of up to 11 months rent or €48,000 which ever is the lower figure with average premiums of around 2pc of rental income.
Also being offered is an online service providing a range of related services to landlord including, such as tenant checks by ‘Stubbs Gazette’, rental dispute assistance and malicious damage cover.
Director of InsurePlus Robert Kelly said the new RentAssured.ie product would appeal to the country’s estimated 305,000 landlords, who own approximately 400,000 private rental homes in the State.
Mr Kelly said: “Many landlords, who typically own one or two properties, have had significant difficulty servicing their mortgages since the economic crash in 2008.
“As a result, a significant number have left, or are planning to leave, the rental accommodation sector entirely. This is putting further pressure on the already restricted supply of rental homes in the stressed housing sector.”
He said rental insurance would provide financial stability for tenants and wider society because of the financial stability it provides to small landlords.
“By enabling them to negate the risks of defaulted rental income, we can help reduce the number of landlords leaving the rental home sector and underpin the supply of the country’s available stock of homes for rent,” he added.
The RentAssured.ie insurance policy is underwritten by a subsidiary of the LAMP Group Limited (UK).
LAMP Insurance Company Limited is a global insurer licensed by the Financial Services Commission of Gibraltar.
LAMP is authorised and regulated to offer insurance products and services in the UK as a regulated firm in the European Economic Area (EEA) and is subject to the same capital requirements as any other European insurer.