LOSS OF RENT - INSURANCE


Over and above the sum insured, under a typical home buildings insurance policy, the insurer will pay you the rent you lose (if you are a landlord) while your home is being rebuilt or repaired. This cover is available to you if:

• you have either a replacement or an indemnity policy.
• the insurer is satisfied that your tenant cannot live in your home.
• your home suffers loss or damage because of one of the listed events.

The insurer will pay you only for the reasonable time taken to rebuild or repair your home. The most the insurer will pay for loss of rent is the smallest of:

• the rent lost while your home is being rebuilt or repaired
• 12 months rent, or
• an amount equal to 10% of the sum insured.

See landlord’s furnishings