Rent guarantee insurance

No matter how carefully you screen future tenants, no property owner today is safe from the possibility of losing rental income when the tenants' financial situation changes. So many things can go wrong: Redundancy, separation, bankruptcy, bereavement, a drop in purchasing power...These events can result in a long and costly procedure linked to the loss of your rental income. Luckily, we can offer two different types of cover to prevent this from becoming an issue for you:

1. RENT GUARANTEE INSURANCE FOR PROPERTY OWNERS

We'll cover rent, charges and recovery costs.

WHO'S IT FOR?

Property owners based in Belgium who are letting to a new tenant

WHAT DOES IT COVER?

• Legal costs incurred by the property owner in dealing with the tenant(s), up to 3000 €.
• Up to 12 months rent and charges in case of non-payment.

HOW MUCH IS IT?

3,75 % tax included of annual rent (charges included).

2. RENT GUARANTEE INSURANCE FOR PROPERTY MANAGERS

We'll cover rent, charges and recovery costs.

WHO'S IT FOR?

Property managers based in Belgium

Asset managers who collect rent for the properties of different owners

WHAT DOES IT COVER?

• Legal costs incurred by the property owner in dealing with the tenant(s), up to 3000 €.
• Up to 24 months' rent and charges in case of non-payment

HOW MUCH IS IT?

2, 5 % tax included of annual rent (including charges).

WHAT CONDITIONS HAVE TO BE MET IN ORDER TO BE ELLIGIBLE FOR THESE INSURANCE POLICIES?

FOR NEW TENANTS:

The owner must disclose the following information about the tenant(s): Name, surname, date and place of birth, nationality, occupation, marital status, previous address, bank details, name, address and phone number of their employer.

The owner must have proof of the solvency of their tenant(s).

If the monthly rent inclusive of charges and tax does not exceed 33% of the monthly net (regular and permanent wages or salary) income of the tenant(s)

• For the employed: The three latest paychecks of the tenant and his/her spouse, partner or housemates, and proof that they are employed in a permanent position
• For pensioners, freelancers and those paid on commission: The last two income tax returns

There is a waiting period of 3 months before the policy takes effect (except for new tenants, where the Rent Guarantee Insurance is effective immediately).

All claims, or late payments leading to a claim, which occur during the first 3 months of the policy period on a given contract are not covered and will not be reimbursed even if the rent arrears continue after this period.

FOR EXISTING TENANTS (*only valid for Rent Guarantee Insurance)

The guarantee may be purchased by the owner of premises which are already let, managed by a professional agent, on condition that

• The tenant is up to date with their rent and charges
• The owner can supply proof that no dispute concerning rent payments has arisen during the 12 months preceding the date proposed for the start of the policy period.

There is a waiting period of 3 months before the policy takes effect.

Any claims, or late payments leading to a claim, which occur during the first 3 months of the policy period on a given contract are not covered and will not be reimbursed even if the rent arrears continue after this period.