Landlord Liability Insurance

It is strongly recommended that commercial landlord businesses have liability insurance, even though it is not a legal requirement. That’s because of the high likelihood of claims that could arise from accidental injuries that occur on your property. If someone trips, falls, or sustains an injury, they could sue your business. These claims can be costly. You could be held liable for medical expenses, compensation costs, and legal expenses.

The landlord is responsible for paying this insurance. This protects them if tenants or other third parties lay a claim against them. This type of insurance is not the tenant’s responsibility.

As the landlord, you’re responsible for keeping your property safe, habitable and compliant with the law. You can be held liable for injuries if you neglect to maintain your property or don’t take care of known hazards. It’s best practice to do regular inspections and make prompt repairs. Clear communication with your tenants can help you stay on top of property maintenance.

Tenants, visitors, or other third parties who are lawfully present or reasonably affected by the property can make a claim. The landlord or employees are not covered by this type of policy, and therefore, cannot make a claim.

Tenants can make a disrepair claim if a landlord fails to maintain the property, especially if it causes them inconvenience or distress. Public liability claims are more serious. These claims are about injury or property damage to tenants, visitors or other third parties on the property. They are different, but can overlap. An issue, like a broken step, can start as a disrepair claim for inconvenience, but become a public liability claim if injury occurs.

Typically, yes. Having public liability insurance landlord cover in place can help protect you from costly compensation claims. This specifically includes potential coverage for claims arising from negligence in maintaining the property or addressing hazards. Always check your policy for specific limits around this cover. 

Yes. In fact, you can find specialised HMO insurance if you operate an HMO property. Standard landlord insurance may not cover the higher risks associated with these properties. Make sure you have a valid HMO licence. Failing to could invalidate your coverage.

Standalone liability-only insurance for multiple properties is not common. Your choice may be limited. Landlords typically group their insurance together under one landlord multi-property insurance policy. This simplifies management and could save landlords money. You could also potentially enjoy wider protections, like rent guarantee and employee liability cover, with a comprehensive policy.