Landlords are racing to take out rental insurance ahead of the Renters Rights Act deadline in May, it’s claimed.
Tech firm Goodlord claims there’s been a 41% increase in demand for rental insurance products between September and December.
In a survey of 234 landlords and letting agents in recent weeks, over three-quarters of all respondents (76%) said the Act had increased their likelihood of taking out insurance.
Some 11% said their position was unchanged. And only 1% said they were less likely to put insurance in place as a result of the Renters Rights Act.
Rental Protection Insurance typically covers landlords and their agents in the event that tenants miss or withhold rental payments, as well as additional outlays such as legal costs and property damage.
“The Act is bringing in a lot of change and the market is recalibrating accordingly” says a Goodlord spokesperson.
“Lots of the major causes of concern – whether that’s around court back-logs, gazundering, or disappearing tenants – may not come to pass in the volumes some predict, but agents and their landlords clearly don’t want to take any chances at a time of such market uncertainty.”
This article is taken from Landlord Today