Rental Protection - Do I need it?


Are you saving for a deposit? Dreaming of owning your first home? Or comfortable renting your home?

Despite the answer to the above, you may feel that rental protection is a key benefit that you really should have.

UK rents are expected to continue to climb over the next five years with 33% the average amount of household income spent on rent payments. The average asking rent in the UK is £951. In London it’s £1,583. A worrying fact is that 44% of people would struggle within six months or less if they were forced off work due to illness or injury.

Have you thought how you would cover the cost of your rent if you were ill or injured and unable to work?

Our Senior Training & Performance Manager, Darren Polson, has the answer to these questions...


What is Rental Protection?

Rental Protection is very similar to protection designed to cover a mortgage and an individual. Therefore, there are three areas to protect – Life Cover, Critical Illness Cover and Income Protection.

If you do take out a mortgage, the policy can be easily adapted to cover the new mortgage which means you are taking advantage of protecting yourself early. In essence, the cover is very similar but does allow you to ensure that your income and family is protected should the worst happed.

It’s flexible as it gives you the ability to increase cover if your rent costs increase.

Rental Income Protection

This cover is designed to provide a regular monthly benefit if you can’t work due to incapacity caused by illness or injury. The monthly benefit could be used to help cover rent or living expenses such as utilities, medical bills, childcare, and any other monthly outgoings.

A positive of this type of cover is that you can increase the benefit amount if your rent increases.

Rental Critical Illness Cover

This cover is designed to provide a regular monthly benefit in the event of your death, or diagnosis of a specified critical illness, during the length of the plan. Can be used to help pay your rent or help protect your family’s lifestyle and everyday living expenses.

Rental Life Cover

This cover is designed to provide a regular monthly benefit in the event of your death, during the length of the plan which will help your family to supplement the loss of income to the household. With most providers, the Life Cover will include Terminal Illness Cover.


Depending on the provider…. there are many additional benefits to the policy, and this will be tailored to your individual circumstances.





Do I qualify?

You can take this policy out from your 18th birthday until your 60th birthday. The policy must end before your 70th birthday, or your planned retirement date, whichever is earlier.

There may be certain occupations that have limitations on the length of the policy, depending on the provider.


Why is this important?

Going into arrears could negatively affect your chance of getting a new tenancy agreement or mortgage in the future. By protecting yourself (which is the most important) you are also protecting your credit score and future by ensuring that your rent is paid, and standard of living maintained.

In mortgages, we see many instances where something has impacted a clients ability to maintain their mortgage payments, this is also crucial when renting a property.

Obtaining a robust protection policy earlier will work out more cost effective and provide a great foundation for you to ensure yourself and your family remain protected should the worst happen.

You may just think that Rental Protection is something you simply must have!