Addept Insurance Services has launched statutory cover that protects landlords against title fraud and illegal subletting by tenants.
The Rental Fraud Defense product provides coverage for the legal costs associated with the illegal transfer of ownership of a property or renting out a property without the landlord’s consent.
The insurance offers to pay costs such as restoring title to a property, dealing with organizations that offer the property for rent or sale, or that provide credit, goods or services.
It also pays for the costs of reclaiming the house, dealing with County Court judgments and liaising with credit agencies.
Adept Insurance managing director Richard Finan said: “The private rental sector is particularly vulnerable to the risk of title fraudespecially if the properties are for rent, vacant, mortgage-free or have a high value.
“Illegal subletting is also a growing problem for the UK housing sector, where tenants can benefit significantly from unauthorized subletting.
“Standard building policies for landlords and traditional legal expenses insurance for landlords do not provide protection against these types of risks.
“Rent Fraud Defense is designed to directly address the gap in protecting the financial and legal obligations that landlords face.”
Rental fraud defense is available as a supplement or can be added to a landlord’s building insurance policy.