Contents insurance – do tenants need it?


Tenants often ask us if owners would compensate them for damaged furniture in the event that an accident caused by something related to the property should occur.  This could include things like damage caused by a burst water pipe or mould and mildew. The answer to that question is - no they would not.

Owners are unable to take out insurance over contents owned by their tenants. They are obliged to take out building insurance and are able to insure certain internal fixtures and fittings such as carpet and window coverings. But as a tenant, it is your responsibility to take out your own contents insurance to cover furniture (unless the property leased is furnished) and other personal belongings you wish to have covered.

While it is not compulsory, we strongly recommend all tenants take out contents insurance. Many insurance companies today offer a specialised tenant’s insurance policy covering their personal property against theft or damage caused by fire, explosion and storm, as long as reasonable security measures are in place such as working door and window locks. We also recommend Legal Liability insurance for tenants to cover them in the event that someone injures themselves on their rental property and they are deemed to be at fault, for instance, if a hose has been left out and a visitor trips over it when walking onto the property.