The Renters’ Rights Act introduces some of the biggest changes to England’s private rented sector in decades. From the removal of Section 21 ‘no fault’ evictions to changes in tenancy agreements and rent increases, landlords now face a different legal landscape than they did just a few years ago.
While the legislation doesn’t directly change landlord insurance policies, it does create new responsibilities and risks that make reviewing your cover more important than ever.
In this guide, we’ll explain what has changed, whether your insurance needs updating, and what every landlord should consider to help protect their investment.
What Is the Renters’ Rights Act?
The Renters’ Rights Act aims to create a fairer and more secure private rental market in England. Since coming into force in stages from 2026, it has introduced significant reforms that affect both landlords and tenants.
Some of the key changes include:
- The end of Section 21 ‘no fault’ evictions.
- The replacement of most fixed-term assured shorthold tenancies with periodic tenancies.
- New rules around rent increases.
- Stronger rights for tenants to request pets.
- Greater enforcement powers for local authorities.
- Future requirements for a Private Rented Sector Database and landlord Ombudsman.
Although these reforms focus on tenancy law rather than insurance, they can affect how landlords manage risk.
Does the Renters’ Rights Act Change Your Landlord Insurance?
The simple answer is no.
The legislation does not automatically change your landlord insurance policy or require insurers to offer different levels of cover.
However, the changes may increase certain risks for landlords. As a result, reviewing your insurance policy has become an important part of managing a rental property.
For example, if it becomes more difficult or takes longer to regain possession of your property through the courts, you could face a longer period without rental income if a tenant stops paying rent. Depending on your policy, loss of rent cover or legal expenses insurance may help in some circumstances, although cover varies between insurers and policy wordings. Always check your policy documents for exclusions and limits.
Rather than assuming your existing policy still meets your needs, it’s worth reviewing your cover whenever there is a significant change in legislation.
Why Landlords Should Review Their Insurance
Landlord insurance is designed to protect your property and finances against a range of risks. As regulations evolve, your insurance should evolve too.
Here are some areas worth checking.
Buildings Insurance
Buildings insurance usually covers damage caused by events such as fire, flooding, storms or vandalism.
If you’ve recently renovated your rental property or increased its value, make sure your rebuild value is still accurate. Underinsuring your property could reduce the amount paid if you need to make a claim.
Property Owners’ Liability
Property owners’ liability insurance can help protect you if someone is injured on your property and you’re found legally responsible.
As landlords continue to meet changing legal obligations and property standards, maintaining your property remains one of the best ways to reduce both risk and the likelihood of claims.
Legal Expenses Cover
With tenancy disputes potentially becoming more complex under the new legislation, legal expenses cover may become increasingly valuable.
Depending on the policy, it may help with legal costs relating to disputes over possession proceedings, tenant disagreements or certain contractual issues.
Not every landlord insurance policy includes legal expenses as standard, so it’s worth checking whether it’s included or available as an optional extra.
Loss of Rent Cover
Many landlords rely on rental income to pay mortgages and other property expenses.
If your property becomes uninhabitable following an insured event, some landlord insurance policies include loss of rent cover. This can help replace lost rental income while repairs are carried out.
It’s important to understand that this cover usually applies only when the loss of rent results from an insured event, such as a fire or flood, rather than from unpaid rent by tenants.
Accidental and Malicious Damage
Tenant damage can be one of the most expensive issues landlords face.
Some policies include accidental damage or malicious damage cover, while others require these options to be added separately.
If you let your property to different tenants over time, reviewing these sections of your policy can help ensure your cover reflects the risks you face.
Insurance Doesn’t Replace Good Property Management
Even comprehensive landlord insurance has limits.
Insurance works best alongside good property management practices.
Landlords should continue to:
- Carry out regular property inspections where permitted.
- Keep maintenance records.
- Complete repairs promptly.
- Keep safety certificates up to date.
- Maintain clear communication with tenants.
- Review tenancy documentation regularly.
Good record keeping can also prove valuable if you ever need to make an insurance claim or demonstrate compliance with legal requirements.
How Can Landlords Prepare for the New Rules?
While the Renters’ Rights Act introduces significant changes, it also gives landlords an opportunity to review how they manage their properties and protect their investments.
A proactive approach can help you stay compliant, reduce potential risks and ensure you’re prepared for any future changes to the rental market.
Here are a few practical steps you can take:
Review Your Insurance Policy
Now is a good time to review your landlord insurance policy. Check what cover you currently have and whether it still reflects your property’s value, your tenancy arrangements and your level of risk.
If you’re unsure about any aspect of your policy, speak to your insurer or insurance broker. They can explain your cover and help you decide whether any optional extras, such as legal expenses insurance or accidental damage cover, may be appropriate for your circumstances.
Keep Property Maintenance Up to Date
Regular maintenance not only helps keep your tenants safe and comfortable but can also reduce the likelihood of costly insurance claims.
Routine inspections, prompt repairs and keeping accurate maintenance records demonstrate that you’ve taken reasonable steps to look after your property.
Stay Informed About Legislative Changes
The rental sector continues to evolve, and further guidance may be published as different parts of the Renters’ Rights Act are implemented.
Keeping up to date with official government guidance can help you understand your responsibilities and make informed decisions about your property and insurance.
Keep Accurate Records
Good record keeping can make managing your property much easier.
Consider keeping copies of:
- Tenancy agreements.
- Inventory reports.
- Property inspection records.
- Safety certificates.
- Maintenance invoices.
- Correspondence with tenants.
Having organised documentation may prove helpful if you need to make an insurance claim or resolve a dispute.
Frequently Asked Questions
Do I need a new landlord insurance policy because of the Renters’ Rights Act?
Not necessarily. The legislation does not automatically require landlords to change their insurance. However, it is worth reviewing your policy to ensure it still meets your needs and reflects any changes in how you let or manage your property.
Does landlord insurance cover unpaid rent?
Some landlord insurance policies offer rent guarantee insurance or loss of rent cover, but these are different types of protection.
Loss of rent cover generally applies when your property cannot be occupied following an insured event, such as a fire or flood.
Rent guarantee insurance is a separate product and usually has its own eligibility criteria and policy conditions.
Always check your policy wording to understand exactly what is and isn’t covered.
Is legal expenses insurance included?
It depends on your insurer and the policy you choose.
Some landlord insurance policies include legal expenses cover as standard, while others offer it as an optional add-on.
If you’re unsure, check your policy documents or speak with your insurance provider.
Will insurance protect me if I can’t evict a tenant?
Landlord insurance does not generally cover every circumstance relating to possession proceedings or changes in tenancy law.
Some policies include legal expenses cover that may assist with certain legal costs, but cover varies between insurers and is subject to policy terms, conditions and exclusions.
The Bottom Line
The Renters’ Rights Act represents one of the most significant changes to the private rented sector in recent years. While it doesn’t directly alter landlord insurance, it does highlight the importance of reviewing your cover and ensuring it remains suitable for your property and your circumstances.
Taking the time to understand your policy, maintain your property and stay informed about legislative changes can help you manage risk with greater confidence.
If you’re reviewing your insurance following the introduction of the new legislation, Insurance Revolution can help you explore landlord insurance options that suit your needs. Our experienced team can explain your cover, answer your questions and help you find protection that’s right for your rental property.
Contact Insurance Revolution today for a landlord insurance quote and discover how we can help protect your investment.
Footnotes
- GOV.UK. Renters’ Rights Act: Overview for Tenants. https://www.gov.uk/guidance/renters-rights-act-overview-for-tenants
- GOV.UK. Renters’ Rights Bill Collection. https://www.gov.uk/government/collections/renters-rights-bill
- National Residential Landlords Association (NRLA). Preparing for the Renters’ Rights Act. https://www.nrla.org.uk/resources/renters-rights/preparing-for-renters-rights
