Common Risks Facing Landlords
Owning a rental property can provide a steady income, but it also comes with risks. A burst pipe, missed rent or legal dispute could quickly become costly.
Understanding the common risks facing landlords can help you look after your property, support your tenants and avoid unexpected bills.
1. Landlord Insurance vs Home Insurance
A standard home insurance policy may not be suitable for a property that is rented to tenants. Landlords may need specialist cover designed for rental properties.
It is also important to provide accurate information when arranging cover. This may include:
- Who lives at the property
- Whether it is furnished
- How the property is used
- Whether it is an HMO
- How long it may be left empty
- The correct cost of rebuilding the property
- Any major building or renovation work
If something changes, tell your insurance broker. Incorrect or outdated information could affect a future claim.
2. Property damage
Fire, flooding, storms and water leaks can cause serious damage to a rental property. Even a small problem, such as a leaking pipe, can become much worse if it is not found quickly.
Regular inspections can help you spot early signs of damage. These might include loose roof tiles, blocked gutters, damp patches or cracks in walls. Remember to give tenants the correct notice before visiting the property.
Landlord buildings insurance may cover certain types of damage, depending on the policy. Always check the terms, limits and exclusions. If you are unsure, you should contact your Broker.
3. Maintenance and repair costs
Every property needs regular maintenance. Boilers can break down, roofs can leak and appliances may stop working.
Landlords can be responsible forrepairs to the structure and exterior of a rental property. They must also keep the property safe and free from serious health hazards, as explained in the GOV.UK guidance for landlords.
Keeping up with smaller repairs may help stop them from turning into larger and more expensive problems. It can also help you maintain a good relationship with your tenants.
4. Safety and legal responsibilities
Landlords must follow a range of safety rules. The exact requirements depend on where the property is located, as housing laws may differ across England, Wales, Scotland and Northern Ireland.
For example, landlords must arrange annual safety checks for the gas appliances. These checks must be completed by a Gas Safe registered engineer. More information is available from the Health and Safety Executive.
In England, electrical installations in rented properties must generally be inspected and tested by a qualified person at least every five years. Landlords must also follow rules covering smoke alarms, carbon monoxide alarms and fire safety.
Failing to meet your legal duties could lead to fines, legal action or difficulty regaining possession of the property.
5. Changes to renting laws
Rental rules can change, so landlords need to keep their processes and documents up to date.
In England, several changes introduced by the Renters’ Rights Act 2025 came into effect on 1 May 2026. These included ending Section 21 “no-fault” evictions, making most assured tenancies periodic (rolling) tenancies, and introducing new rules about how tenancies can be started and ended.
Landlords should read the latest government guidance on private renting changes and consider legal advice for more complex situations.
It is also important to check whether the property needs an HMO, additional or selective licence. Local councils can introduce licensing schemes in certain areas.
6. Accidental or deliberate tenant damage
Most tenants will look after their rented home, but damage can still happen. This could include stained carpets, broken fittings or damage caused by pets.
There is an important difference between normal wear and tear, accidental damage and deliberate damage. Not every type of damage will be covered by a landlord insurance policy.
A clear inventory can help avoid disputes. Take dated photographs at the beginning and end of each tenancy, and keep records of any furniture or appliances you provide.
7. Rent arrears and loss of income
Missed rent can put pressure on a landlord’s finances, especially when mortgage payments and other bills are still due.
Gaining references from tenants and keeping clear payment records may help reduce this risk. If a tenant begins to fall behind, early communication can sometimes prevent the situation from becoming worse.
Loss of rent insurance and rent guarantee insurance are not always the same. Loss of rent cover will often apply when an insured event, such as a fire or flood, makes the property unfit to live in. It may not cover a tenant who simply stops paying. Check your policy wording carefully.
8. Empty properties
A rental property may be empty between tenants or while repairs are being completed. During this time, problems such as leaks, vandalism or break-ins may go unnoticed.
Many insurance policies place extra conditions or restrictions on properties that are empty for a set length of time. If the property becomes unoccupied, tell your insurance broker and follow any security or inspection requirements in your policy.
9. Injury and liability claims
A tenant, visitor or contractor could be injured at the property. For example, they might trip on a damaged step or be hurt by a loose fitting.
If the landlord is found responsible, they could face a compensation claim and legal costs. Property owners’ liability insurance may help with certain claims, subject to the policy terms.
Keeping the property in good condition and dealing with reported hazards promptly can help reduce this risk.
10. How can landlords reduce their risks?
Not every problem can be avoided, but good planning can make a difference. Landlords can:
- Inspect the property regularly, with the correct notice
- Deal with repairs as soon as possible
- Keep copies of safety certificates and maintenance records
- Use a detailed inventory with photographs
- Check national and local landlord rules
- Set aside money for repairs and empty periods
- Review their landlord insurance each year
- Speak to their insurance broker when circumstances change
Protecting your rental property
Every landlord and rental property is different. The right insurance can help protect the building, your rental income and your legal responsibilities when something unexpected happens.
One Call Insurance can help you explore property owners insurance for a single rental property or a larger portfolio. If you would like to review your options, you can request a quote or speak to the team when the time is right.
Cover, limits and exclusions will vary between policies. Always read your policy documents carefully.
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