Rent Guarantee
Rent Guarantee protects landlords whose tenants default on payments of rent. Rent Guarantee also provides cover for costs and proceedings to evict the tenant from the rented property where applicable. Landlords can buy Smartlandlord Rent Guarantee instantly online and secure their rents.
| Product Name |
Price (excl. tax) |
|
| Elite Rapid Rent Guarantee 6 months (1 month excess, instant reference) |
£50.00 |
|
| Elite Full Rent Guarantee 6 months (1 month excess, comprehensive reference) |
£70.00 |
|
| Elite Plus Rent Guarantee 6 months (nil excess, comprehensive reference) |
£80.00 |
|
| Elite Full Rent Guarantee 12 months (1 month excess, comprehensive reference) |
£100.00 |
|
Are you protected against non-payment of rent,
including legal expenses and the cost of evicting tenants?
Smartlandlord.co.uk® can provide you with Rent Guarantee insurance from less than £10 a month!
- Instant protection if your tenant fails to pay the rent
- Cover up to £2,500 a month in rent
- 6 or 12 month cover option
- Payment within 14 days of default, minus excess
- Expenses for legal action and tenant eviction
Please Note:
- Rent Guarantee insurance must be taken out and the documentation completed BEFORE any tenancy agreement is signed or tenant(s) moved in.
- The price quoted is per tenant - not per property
Get Smartlandlord.co.uk® Rent Guarantee Insurance cover from less than £10 a month and protect against non-payment of rent - within minutes!
Key Features:
- Rent Guarantee insurance provides instant protection if your tenant fails to pay the rent.
- Rent Guarantee insurance covers up to £2,500 a month in rent as standard.
- The policy premium is a one-off payment per tenancy agreement, not based on the amount of rental income you receive.
- Cover automatically includes legal cover for the cost of taking action against the tenant for unpaid rent, up to £50,000 in legal costs and rent only (not counterclaims). Smartlandlord.co.uk® will also take all the cost and hassle out of the eviction process, if necessary.
- Rent Guarantee insurance is available with 6 or 12 month cover options.
- A written tenancy agreement must be in place. The first months rent and a deposit equivalent to one month’s rent must be taken in full at the start of the tenancy.
- Two forms of Identification for each tenant must be held by the policyholder and / or the letting agent.
- You will be required to run credit checks on all your tenants. All tenants must be over the age of 18. Policy cover is subject to receipt of a satisfactory tenant reference.
- Instant tenant referencing covers the basics, such as CCJs and identity checks, whereas comprehensive tenant referencing also includes tenants' employment record and previous landlord / letting agent details.
- Rent Guarantee cover runs in line with the tenancy agreement, which must have a start date within 60 days of the tenant reference.
Please Note:
- Rent Guarantee cover is NOT available after any tenancy agreement is signed or the tenant(s) moved into the property. You must take out a Rent Guarantee policy and complete the document BEFORE signing a tenancy agreement and the tenant(s) moving in.
- The price quoted is per tenant - not per property, e.g. a couple moving into your property and paying the rent together would require two separate Rent Guarantee policies.
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Q. My new tenant has already signed a tenancy agreement. Can I still take out Rent Guarantee insurance cover?
A. No, Rent Guarantee insurance cover can only be taken out before you sign a tenancy agreement and before the tenant moves into the property.
Q. How can I make a claim on my policy?
A. You will need to send a completed claim form along with all supporting documentation, within 31 days of the event, to the Smartlandlord Claims Department at Arc Legal Assistance Limited, PO Box 8921, Colchester CO4 5YD.
Q. What supporting documentation do I need to submit with my claim form?
A.:
- A copy of the referencing report
- A copy of the tenancy agreement
- Proof of default i.e. bank statements
Q. Can I cancel my policy at any time?
A. The Policyholder may cancel their cover within 14 days of receipt of the insurance documentation and receive a full refund of the premium providing that no claims have been notified to the Insurer.
Q. What is the difference between an instant reference and a comprehensive reference?
A. Both references are Smartlandlord references, however the instant reference covers the basics, such as CCJs and identity checks, whereas the comprehensive reference also includes tenants' employment record and previous landlord / letting agent details.
Q. Is the rent guarantee paid immediately if the tenant defaults?
A. No. Smartlandlord will pay 14 days after the default date subject to the excess*.
Q. Do I need to obtain credit checks for all tenants?
A. All tenant have to be over the age of 18 and be in receipt of a satisfactory reference.
Q. My tenant has a CCJ, does this make a difference?
A. Yes. We do not accept tenants with CCJs for our Rent Guarantee cover.
Q. My tenant has not lived in the UK for six months or more. Can you help?
A. If they have not had residency in the UK for six months or more, they will not be able to be referenced under an Elite Rapid Tenant Referencing. This is mainly due to the fact that the basis of these references is credit checks; we will not be able to retrieve a credit file for someone with a UK residency of less than six months. We can, however, process any of the other Elite Products on foreign tenants, including references taken from foreign employers. At the moment our website does not accommodate foreign addresses, but once you go through the initial stage and move on to entering the tenant's details, our team can pick it up and contact the tenant.
If you wish to apply for Rent Guarantee insurance for a foreign tenant who is moving to a property in the UK from outside the UK, unless they are of a Professional class employment or earn over £50,000 per annum, they will need a Guarantor as no credit file is available. In the event of a tenant being unable to meet their obligations under the tenancy agreement, whether it is for damage to the property, overdue rent or whatever, this means that the Guarantor is legally bound to accept the liabilities on behalf of the tenant.
* Please see policy summary here for more details.
If you wish to make a claim a completed claim form along with all supporting documentation should be submitted, within 31 days of the event, to the Smartlandlord® Claims Department at Arc Legal Assistance Limited, PO Box 8921, Colchester CO4 5YD. (See 'Description' tab a choose the appropriate policy wording).
If you need a supply of claim forms then;
Please note
- Cover expires when either the tenant leaves the property or cover ends. A policy cannot be renewed if there has been a previous claim.
- Rent guarantee insurance requires you to keep an accurate record of all rent due and received including the dates of payments.
- Submitting a claim is a straightforward process. You will need to submit supporting documentation with your claim form, including proof of default (e.g. bank statements) and copies of the tenant referencing report and tenancy agreement.
- A rent guarantee policy cover will pay out 14 days after the tenant defaults, minus the amount of the excess. You have 31 days to make a claim once the tenant first defaults.
- Benefit will be paid at a rate of 1/30th of the monthly rent for each continuous day that rent is in arrears for a maximum of 6 months and a total of up to £2,500.
- You have the right to change your mind. New policies may be cancelled within 14 days of receipt of the insurance documentation. You will receive a full refund of the premium, provided that no claims have been made to the insurer.
- The policy wordings, summary of cover, quote illustration and our terms of business are available online via the links on this page and for your own benefit and protection you should download or print off these documents and read these carefully. These will also include full details of policy exclusions.
Preparing for Rent Guarantee
- Tenants are 18 years of age or more
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- All tenants have been referenced
- An inventory of contents and condition has been carried out and signed by the tenant(s) prior to the tenancy agreement
- A signed tenancy agreement has been produced
- One months rent has been taken and cleared
- One months deposit has been taken and cleared
Dos and Don'ts
Do:
- Set up an account with Smartlandlord® in order to access our products
- Collect two forms of identification from your tenant(s)
- Keep an accurate record of all rent due and received including the dates of payments
Don't:
- Begin the tenancy before the policy has been issued
- Exceed the 60 day limit for the start of tenancy
- Apply for Rent Guarantee without collating all of the information set out in 'Preparing for Rent Guarantee'
Reviewing your cover
You may consider it appropriate to review the level of benefit provided by your Smartlandlord® policy on a regular basis to check whether it continues to meet your insurance needs.
