Legal Expenses And Rent Guarantee – Nil Excess
Our Legal Expenses & Rent Guarantee policy offers landlords peace of mind by off-setting some of the costs incurred when tenants’ default on rental payments whilst still occupying the property. It also covers the legal costs of regaining possession of the property, which can also be costly.
- A 12 month policy term with no excess
- A mediation service is available during the claims process
- Up to 5 tenants can be covered on one policy (single tenancy agreement)
- Cover can be offered for an existing tenancy agreement (90 days exclusion period will apply)
The maximum amount payable in respect of an Insured Event is as follows:
- Mediation Adviser Costs: £330
- Eviction Adviser Costs: £25,000
- Maximum Monthly Rent: £2,500
- Maximum Rent payable: 6 Months or the end of the Tenancy Period whichever is the lesser
It is a requirement of this insurance that the policy holder carries out references before the tenants move into the property. In the event of a claim, the responsibility lies with the insured to present the referencing documents.
All types of tenants have to be fully referenced either by Rentguard or a Referencing company approved by Rentguard – these include DSS, students, self employed lets and the like.
However, for full time employed working tenants a 4 point check will suffice* (please note that the details have to be valid from the start of the tenancy agreement.)
The 4 point check is:
- Identification from the tenant, containing a clear verified photograph
- Either a utility bill or a bank statement
- Credit check; clear of CCJ’s, bankruptcies & indicating confirmation of residency
- Confirmation of employment – a written employers’ reference on company letter headed paper confirming the tenant’s permanent and current employment and that their salary is at least a multiple of 2.5 of the tenant’s rent (the documents should be no more than one month old from the start of the tenancy)
*Please note that if the 4-point check is applied & is in place, there will be no need to do a full profile – though in the event of a claim, the responsibility lies with the insured to produce the appropriate documents.
Please note that when a working person does not meet the above requirements or after working out their ratio of income against the rental requirement it proves insufficient: then a full profile reference has to be carried out. This reference can only be carried out either by Rentguard Tenant Referencing or one of our appointed referencing companies (please contact us direct for the list).
If you require further information or advice about tenant referencing, please contact customer services on 0208 587 1060 or contact Rentguard Tenant Referencing.