- Affordability: The tenant must be earning two and a half times the monthly rent
- Credit check: The tenant must have no county court judgements (CCJs) or bankruptcies in the last three years
- Identification: The landlord must collect two types of identification and one of these must be pictorial.
What if the tenant moves out after six months?
If the tenant has an Assured Shorthold Tenancy and moves out of the property when it ends after six months, the rent guarantee cover will still apply. This is because our rent guarantee insurance policies apply to the property, not the tenant. Policies are valid for 12 months, so provided the new tenant passes the same referencing, cover will be maintained.
There is no legal requirement for rent guarantee insurance, but it’s a useful product to have. If your tenant falls into difficulties and can no longer pay the rent, it will make sure you don’t end up out of pocket. With policies available to cover up to 25 tenants and exclusive discounts for existing landlord insurance customers, give us a call today and find out how we can help protect your valuable investment.
Watch the video below to find out more about tenant referencing and rent guarantee insurance: