Do I need public liability insurance to cover my tenants? Ask Margaret

Hi Margaret,  

The real estate agent in Queensland is telling me that they will not accept my business if I do not have public liability insurance to cover the tenants in case of injury.  

It is my understanding that this was the responsibility of the tenants?  

Your help is appreciated.

Kind Regards,

Salllie

Hi Sallie,

This is a good question and one which many new landlords ponder.  The responsibility for ensuring that a person has access to financial recompense if they injure themselves when on premises not owned by them falls to the owner of that premises.  In the case of a rental property, this responsibility clearly lies with the landlord, and so the agent is correct.  

However, you say that you have building, contents and landlord’s insurance already. This means that you will have public liability included in the building policy and the landlord’s policy, and both amounts are likely to be for cover of up to $10m!  Grab your policy and have a good read as I know you will find this inclusion in both.  

Which leads me to my next piece of advice.  Don’t use that particular manager to manage your property!  If you have told them that you already have both building and landlord’s protection insurance, they should know that you already have this cover.  Even if you have not told them you already have this, rather than just refusing your business, they should have explained how to get this cover, and you would then have been able to advise that it was already in place. 

In short it’s you who should be refusing their business!    

Regards Margaret,

She is the founder of Destiny.

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