Can I buy landlord insurance and live in the property myself?
Some insurers will allow you to have a standard landlord insurance policy if you’re living there initially, on the basis that you will move out and your tenant will move in within 8 weeks. If you are intending on staying in the property with tenants there too, you will need a dedicated live in landlord insurance policy.
Renting out a part of your property is likely to invalidate any existing standard home buildings and contents cover, whether or not you also live in the property. This is likely to necessitate some form of live in landlord insurance, with the insurer having been informed that you will also be living in the house.
Bear in mind that even a live in landlord insurance policy will not be valid unless you have a tenancy agreement in place. This agreement will typically give the tenant exclusive use of at least one room, which you will not be permitted to enter without the tenant’s permission.
It is also crucial to let your mortgage lender know that you are partially renting out your property, as you may otherwise be breaching the terms of your loan.
You can expect to pay higher insurance premiums for live in landlord insurance than for standard home insurance, due to such risks as accidental damage becoming greater when someone is sharing the property. We would strongly advise you to ensure that whatever policy you purchase includes both buildings cover and contents cover.
While it is certainly possible to purchase landlord insurance and live in the property yourself, this is typically subject to certain conditions, and depending on such circumstances as the period of time for which you live in the property with your tenant, you may need to purchase a specialist live in landlord insurance policy.