Landlord insurance

[makecents]

Hello, just a general query about landlord insurance, (I have had a look at a couple of li websites but a bit confused)
A friend who works in insurance has told me that landlord insurance only covers for Malicious damage, so if a tennant damages property but the intent wasnt malicious then you are not covered by the landlord insurance but can only take it out of their bond (meaning you could be out of pocket).
The example the friend gave me is tennants who cut holes in blinds and curtains so that they could open the windows easily. This wasnt covered as it wasnt malicious.
Does that sound right?
Is there any recourse for the landlord?
I am in SA by the way.

 

[tez]

Each insurance policy is different, so if your sleep at night factor is to have most things covered, including accidental / intentional damage by the tenants, then you need to make sure you have the right policy.

Some landlords only have a run of the mill buildings / contents policy which doesnt even cover rent default.

 

[BV]

The example the friend gave me is tennants who cut holes in blinds and curtains so that they could open the windows easily. This wasnt covered as it wasnt malicious.
Does that sound right?

As tez said, it depends on your policy and its important to have the right one because some of them eg NRMA will take the bond and use it to cover part of your claim.

Others like CGU will let you take the bond and use it towards cleaning and other repairs.

Terri Scheer is another good one but more expensive than CGU.

I wouldn't lose my sleep over it.
Most tenants will not look after your place because its not theirs but will not go to that extend.

 

[makecents]

I see, thanks!

 

[CuttingHorseFan]

I'm with Terry Scheer...
and as far as looking after properties.
I think a lot of investors have a lot to learn in this country.

As an investor and a 'scumbag tennant executive renter' I find that a lot of properties leave a lot to be desired and I think that reveals a lot about the mindset of many investors.
I find it particularly off and tacky that an 'executive rental' in many states consists of tacky Bunnings plastic lawn furniture for indoor furnishings on properties renting for $400 to $500 per week for a studio. Shame shame.

Have respect for your tennants because not all renters are Bogun scumbags despite what your furnishings reveal about Y O u. Oh and in this age of single and fur kids...if you accept tennants with pets you will find a lot less damage than tennants in some instance with the non fur variety.

This country has a lot to learn.

In the end I like investing in property and being a Gypsy nomad and moving around this great country of ours for teriffic job roles....but the mindset has got to change! Not all renters are BOGUNS!!!

 

[NataleaK]

It's bogans..

 

[goonandtell]

i go through whitbread brokers, i haven't read through the PDS in a while but it seemed to cover most scenarios we where interested in.

also we try and keep our places a bit nicer than the others so we can be a touch pickier with tenants, if we had rented some of the places as they where when we took them over i would imagine they would have attracted a different sort of tenant.

Also i am a renter myself and so far have lived in a 3 story 5 bedroom, 4 living room, 3 bathroom place and now in a 2 bed apartment on the top floor in southbank with pool/gym/tennis court accesss so thre are plenty of rentals out there not aimed as bogans.