Do I Need Landlord Insurance for a Leasehold Flat?
If you let a leasehold flat, the freeholder's block policy only covers so much. Here's what landlord insurance you actually need — and what's already covered.
Leasehold · 18 July 2026 · 6 min read
Letting a leasehold flat sits in a slightly awkward insurance grey area. The freeholder (or Right to Manage company) usually arranges buildings insurance for the whole block — so do you still need landlord insurance? The short answer is yes, but not the same policy as for a house. Here's what you actually need.
What the Freeholder's Block Policy Covers
Under most leases, the freeholder is legally required to insure the building and recover the cost from leaseholders via the service charge. A typical block of flats insurance policy covers:
- Buildings — structure, roof, external walls
- Communal areas — hallways, stairwells, lifts, gardens
- Property owners' liability for the freeholder
- Loss of rent to the freeholder (not to you as leaseholder)
Critically, this policy does not cover your contents, your rental income, or your liability as a landlord to your tenants.
What Landlord Insurance You Still Need
For a let leasehold flat, a right-sized landlord policy typically includes:
- Landlord contents insurance — carpets, furniture, white goods, curtains you provide
- Loss of rent — pays your rental income if the flat is uninhabitable after an insured event (fire, flood etc.)
- Landlord liability — usually £2m–£5m for tenant or visitor injury claims
- Optional rent guarantee and legal expenses — for tenant default and eviction cover
- Optional accidental damage — a common add-on for professional lets
You do not normally need buildings cover — that's already in the block policy. Doubling up wastes premium and can complicate claims.
Check Your Lease Before You Buy
Two things to check before arranging cover:
1. Ask the freeholder or managing agent for a copy of the block policy schedule. You need the sum insured, excesses, and which perils are covered so your landlord policy sits neatly alongside without gaps.
2. Check whether the block policy excess for escape of water applies per flat. Some blocks carry a £2,500+ excess, and you may want to insure that excess separately.
What If the Freeholder Is Uninsured or Underinsured?
It happens — especially in small self-managed blocks. If the block isn't properly insured, you can:
- Ask the freeholder to arrange proper buildings insurance for flats with leasehold
- Take out a "leasehold flat" policy that includes buildings cover as a backstop
- Speak to a specialist broker about a policy that reflects your specific lease
Short-Term Lets and Airbnb
If you Airbnb a leasehold flat, most block policies exclude short-term lets and you'll usually need a specialist policy on top. Check your lease too — many leases prohibit short-term letting entirely.
Compare Landlord Insurance for a Leasehold Flat
The easiest way to get the right cover is to compare quotes from brokers who understand leasehold specifically. Start a free comparison at landlordquote.co.uk.
This is general information only, not insurance advice. Always read the policy wording and your lease before you buy.
Beyond Leads Ltd T/A Landlord Quote (FCA FRN 940006) is an FCA authorised lead generation business. We do not provide insurance advice, recommend policies, arrange cover or quote premiums. This page is general information only. If your enquiry is matched, your details are shared with an FCA authorised specialist broker who will discuss cover and pricing with you directly.