Archive for April, 2014

Why Residential Landlord Insurance is Important

It seems that many people have the same opinion on insurance that it is a necessary evil that we have to purchase. Changing your perception of insurance is the first thing that you need to do. As a landlord, you have certain responsibilities and a care of duty to your tenants. This is why landlords insurance is such an important factor when renting out property.

Should you have a buy-to-let property, you are naturally going to be keen on seeing a return on your investment. Sadly, not all tenants are well-behaved and law abiding. In the event that you have a particularly troublesome tenant, you are going to want to ensure that you insured so you do not see a loss on your most critical investment.

It is worth bearing in mind that while landlord insurance is not compulsory, and you are not breaking any laws by not having it, think about the reasons why you need it. The reason that you take out home insurance is as a precautionary measure. The same is with landlord insurance. By paying out a nominal fee every month, you are potentially saving yourself a small fortune in the long run. Similarly, can you afford to dip into your own savings to pay for any disrepair on the property? Discount landlord insurance is also available, so it may be worth doing some research before you purchase insurance.

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One key factor to remember is that home insurance and landlords insurance are very different things. If you are letting a property it is almost critical that you cover yourself with landlord insurance and not home insurance. While the cost may be higher, you will be entirely covered in the event that something goes wrong within the home. Sadly, a home insurance policy will become invalid if claimed upon by a landlord.

It may be wise to research the different types of insurance that are available to landlords. Certainly building cover is a sound investment, but taking out contents insurance may be a considerate waste of money. Contents insurance for landlords should only be taken out in the event that the property you are renting is furnished. It may be sensible to be covered by this kind of policy should you rent out homes that have white goods come with them as a standard. White goods are notoriously expensive and you do not want to face a huge bill to replace them in the event that something goes wrong while your property is being rented out.

Finally, as a landlord you have a responsibility to your tenants. In the event that something goes wrong within the home, do you have the financial backing to assist with their query? After all, the home is your investment, not theirs, so your tenant is going to be unlikely to fix the issues on your behalf. By taking out landlords insurance you can ensure that you are good landlord to your tenants and that you have financial assistance when you need it. Be a savvy landlord and take out the relevant policy today.

New Drivers: Here’s How To Drive Down The Cost Of Your Car Insurance!

Perhaps the biggest benefit to learner drivers that have recently passed their driving test is that they can now go out and buy a car! It’s always great to go car shopping, because you get the opportunity to browse and test drive all sorts of different cars until you find “the one”.

As you will probably already know, in order to legally drive a car on public roads one of the things that you need to pay out for is car insurance. In a nutshell, car insurance is a legal requirement that entitles you to make a claim for theft or accidental damage, depending on the type of insurance policy you take out at the time.

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Image Credit: ** RCB **, via Flickr

Why is car insurance so high for new drivers?

It might not surprise you to learn that car insurance is generally dearer for new drivers on the road, especially if they are aged between 18 and 25 years old, as insurance companies deem such drivers as “high risk”.

Another reason that car insurance is significantly higher for new drivers is also down to insurance fraud. A minority of rogue drivers looking to make a quick buck stage car accidents or claim for injuries they don’t have in order to receive a large amount of compensation.

If you are struggling to work out how you can afford insurance for your car and you’ve only just passed your driving test, you are probably feeling somewhat depressed by now as it could potentially mean the difference between being able to drive your own car or not!

Luckily there are some tips to lower your car insurance premiums that insurance companies won’t openly tell you about (for obvious reasons)! Thanks to Driving Lessons Leeds for sharing these top tips with us.

Don’t buy a gas guzzler

When you are out shopping for your first car, it is important that you don’t opt for a model that will cost you a small fortune to insure! New drivers typically buy small cars such as city cars and superminis. Examples include the Fiat 500, Mini One and the Ford Fiesta.

If you had your eye on a Chevrolet Camaro, you would be better off waiting until you’ve either got a few years of claim-free driving experience under your belt, or you have won the lottery.

Not that most new drivers can afford to buy one, but it is worth noting that brand new cars cost more to insure than their used equivalents so even if you were thinking of buying a new one, it would be worth buying a model that’s at least 12 months old (plus you will miss out that on that massive depreciation hit that all brand new cars suffer from)!

Take an advanced driving course

Insurance companies love to use the excuse of “you’re an inexperienced driver” to justify charging you high premiums!

But did you know that many sympathetic car insurers will give you a discount on your car insurance policy if you can provide evidence that you have attended and successfully completed an advanced driving course?

 

How to claim back PPI

If you’ve had a credit card, catalogue, car finance or overdraft in the past, there is a good chance you could successfully claim back PPI.

 

PPI means Payment Protection Insurance and was sold alongside financial products for a number of years and was designed to help if you were off work through sickness or lost your job through redundancy.

It has come to light that many PPI policies were mis-sold and all financial institutions have been ordered by the courts to repay the money if it is proved that the insurance was taken out following poor advice.

Over £12 billion has now been refunded and all the major banks have set aside large amounts of funds to cover the money which is still to be returned.

If you were sold PPI with any financial product, it is worth checking to see if you are eligible for your money to be refunded to you.

Check the details on the policy or if you don’t know if you had PPI, call or write to the relevant company. They will let you know. You can make a claim for an account which is still open or one which was closed some time ago.

The most important aspect to consider is whether you feel that PPI was mis-sold to you. If you were told or discover any of the following:

–        It was compulsory

–        you didn’t realise they had added it to the  finance package without your knowledge

–        you were sold something you didn’t need as you’re already covered elsewhere

–        you were self-employed, retired or unemployed

–        you had medical problems in the past

–        the provider has already been fined

then there is a strong possibility you have a case.

Telephone the lender and tell them you want a refund and the reason why. Some are now handling the issue directly over the phone which makes things easy to resolve. If not, there is a questionnaire to complete which has been issued by the Financial Ombudsman. Complete this and you will receive a reply. If you receive an offer, ensure they include all the money you are owed. If rejected, write to the Financial Ombudsman who will look to handle the case for you.  The Ombudsman is free to use and their role is to settle disputes between customers and companies.

If paying PPI has left you short each month and you now need to pay for an emergency situation such as a post-winter utility bill, you can look to redress the balance with a small loan until you hear about your refund.  Visit payday choice to compare payday loans as they understand that situations crop up in life where you need an injection of cash for a short amount of time.  Payday loans don’t include PPI, so you can rest assured that whilst you are dealing with your refund, you can relax and know the rest of your finances are covered.

PPI has been claimed back by millions of people so don’t delay if you feel that you are owed money.