What is rent guarantee insurance?

Rent guarantee insurance is optional cover that helps to protect you, as a landlord, from being at risk if your tenants have difficulty paying their rent.

Rent guarantee can be an invaluable policy for landlords who rely on the rental income to pay the mortgage. You can choose from a standard or a gold policy which provide slightly different levels of cover. There is an excess on the policy of up to one month’s rent. We provide legal cover as standard on each policy, giving you access to a panel of solicitors to provide you with legal help and advice on a range of matters.

In order to purchase rent guarantee insurance, you must have a rental agreement in place and your tenants must be referenced.

To apply for rent guarantee insurance you must be able to agree with all of the following statements:

  • A comprehensive reference with an accepted decision through a tenant referencing service provider can be provided for all tenants and/or guarantors.
  • Each tenant and/or guarantor is included in the completed tenancy agreements duly signed by all parties.
  • The tenancies are agreed on an assured short hold, short assured or an assured tenancy under the 1988 Housing Act or Housing (Scotland) Act.
  • Each tenant is only allowed into occupation once a month’s rent and a deposit payment has been collected.
  • A clear record of all rent due and payments received including the date of any payment received will be kept.