Save time and effort by comparing a range of home and contents insurance policies with iSelect
In this article, we’ll take a look at landlord insurance in the state of Queensland, including the benefits of taking out a policy, and what to consider when you're reviewing providers.
Depending on the policy you choose, landlord insurance can cover you in the event of possible financial losses such as damage to your property by tenants, or some circumstances where your tenants leave without paying rent1. Landlord insurance covers damage to the building itself, but you can also choose to insure any contents within the building that belong to you1.
Additionally, Landlord insurance costs can be tax deductible2.
Landlord insurance covers you for unforeseen circumstances relating to your tenants, such as if they damage or destroy your property, or in some cases where they leave without making their rental payment.
Building insurance (often called home insurance) on the other hand covers the cost of building repairs or replacement - for example, if your house burns down in a fire3. You’ll need to organise building insurance for your property, unless you buy a unit, in which case the building insurance will be paid from your strata levies.
As a landlord in Queensland, you can choose to take out landlord insurance for your rental property.
While you don’t have to take out this type of insurance, it’s an important consideration, as it will cover you for potential financial losses which could be costly if you don’t have insurance in place. These losses may result from a range of scenarios, from damage to the building caused by your tenants, to a loss of rental income should tenants leave without paying.
As with any type of insurance, what you’re covered for will vary between providers and the policies they offer. The following are examples of things that may be covered by a landlord insurance policy, either as part of a standard policy or as optional extras:
Although landlord insurance is optional, there are a number of reasons why Queensland landlords may benefit from taking out a landlord insurance policy.
In recent years, North Queensland in particular has been severely impacted by natural disasters including cyclones and floods4. This means properties located in disaster-prone areas are at higher risk of damage caused by unforeseen events - and without an effective insurance policy in place, landlords of these properties could face significant out-of-pocket costs.
If you live in a higher-risk area, be sure to check whether your landlord insurance covers you for natural disasters and which disasters are covered by your policy.
Before deciding on a policy be sure to read the product disclosure statement for information about coverage and limitations.
Click here to view iSelect’s range of home & contents providers, and select the one which suits you.