How to Calculate Rental Income

Loss of rent insurance can cover the financial loss you may incur during a period of not being able to rent out your property. Find out more about how this works and whether it might be right for you.

When it comes to commercial property, you will typically need dedicated landlord insurance to be sure that you are fully covered. There are specific risks you face as a landlord which would not be covered by a traditional home insurance policy and therefore it is important that you take out specialist insurance.

If the property you rent out becomes uninhabitable you would lose the income from renting. With landlord insurance, you can be covered for this eventuality under loss of rent insurance. This is one of the main differences between landlord insurance and standard home insurance.

Different policies calculate loss of rent cover differently, so it is worth speaking to your insurance adviser to ensure that your policy is sufficient enough to cover your income in the case of the property becoming uninhabitable.

If your property was destroyed by a fire, for example, there could be a long period of time during the rebuild that you would not be receiving any rental income. During the time when the debris is being cleared, the new build is being planned, the structure is going up and the property is being decorated you will obviously not be able to rent the property out.

You need to be confident that your buildings insurance covers you for the full amount to re-build and that your loss of rent insurance is enough to cover your income for the duration of the rebuild.

Yes. If something happens to your property, it may not be possible for your tenant to live in the premises, which of course means that you’re likely to lose out on some rent.

You can claim for that loss of rent if your building is uninhabitable as long as the damage or an accident (such as fire, storm, flood or escape of water) is covered by the rest of the policy.

Yes, loss of rent is included as standard with Everywhen landlord insurance.

Just let us know your annual rental income and an idea as to how long it would take to rebuild your property in the most serious of incidents.

We provide landlord insurance for a wide range of properties and tenants including multi occupancy, students, local authority placements, unoccupied and much more.

See our landlord insurance page, get a landlords insurance quote online or call 0333 060 0915 for more information.