What does tenant rental default insurance cover?
The purpose of the tenant’s rent’s default insurance is to protect the landlord in the event that the tenant fails to pay the rent.
The insurance normally covers the unpaid rents (up to a maximum amount agreed in the contract), however, policies of this kind can also include the coverage of other contingencies which can arise.
Here is a list of the types of contingencies that a tenant’s rent’s default insurance may cover:
- Legal defense and claims regarding the lease.
- Defense in respect of other insurances.
- Defense in respect of criminal liability.
- Claims for extra-contractual damages.
- Claims regarding repair or maintenance contracts.
- Defense of rights relating to the home or premises.
- Legal Assistance Help Line service.
- Payment of utility bills Up to 150€.
- Loss of rent as a result of fire máx. 6.000€ and up to 12 months of rent.
- Vandalism directed at the premises.
- Vandalism directed at the content.