According to recent research conducted in April 2025, more than a third of UK landlords may be operating without proper insurance cover, leaving them vulnerable to financial loss.
The data shows that 25% of landlords do not have any landlord-specific insurance, while an additional 12% are unsure if their existing policy provides adequate protection. Among those with insurance, nearly two-thirds had not reviewed or updated their policy in the past year.
This trend of underinsurance comes as the private rental sector faces growing pressure from rising operational costs, incoming regulatory reforms, and increasing risk exposures, including property damage, legal disputes, and rent loss. The findings suggest that many landlords may rely on standard home insurance policies, which often exclude tenant incidents, exposing them to significant liabilities.
The upcoming Renters’ Rights Bill is expected to introduce additional legal responsibilities, while insurers are tightening policy terms and increasing premiums, particularly for properties in high-risk areas. Despite this, nearly one-third of landlords surveyed expressed low confidence in their insurance’s ability to cover essential risks such as tenant-caused damage, legal expenses, or loss of rental income.
The data points to a knowledge and engagement gap, with cost-conscious landlords potentially selecting policies based on price alone, without assessing the suitability of cover. Industry experts are urging landlords to regularly review their insurance policies and ensure coverage aligns with the current value of their assets and the realities of modern property letting.
