Essential Insurance for HMO Landlords: What You Need to Know

Owning and managing a House in Multiple Occupation (HMO) comes with a unique set of challenges—and standard landlord insurance just won't cut it.

At LBH Insurance, we understand the additional risks that come with renting to multiple, unrelated tenants under separate agreements. That's why specialist HMO Landlord Insurance is crucial to protect your investment and give you peace of mind.

What Does HMO Landlord Insurance Cover?

Unlike standard landlord policies, HMO insurance is designed to cover the higher risks associated with shared living arrangements. Here's a breakdown of the essential components:

HMO Landlord Insurance (Specialist Cover)

Tailored for shared properties, this cover accounts for:

  • Higher foot traffic and increased wear and tear
  • Greater risk of accidental damage
  • Increased liability exposure from multiple occupants
  • Complexities of multiple tenancy agreements
  • Fire safety and compliance requirements

Core Insurance Types for HMO Landlords


1. Buildings Insurance

Covers damage to the structure from events such as fire, flood, storm, vandalism, or escape of water.

2. Contents Insurance (Landlord's Contents)

Protects furniture, white goods, and appliances you provide for tenant use (excludes tenants' personal belongings).

3. Loss of Rent Insurance

If your HMO becomes uninhabitable due to an insured event (e.g., fire or flood), this cover compensates you for lost rental income.

4. Property Owners Liability Insurance

Protects you if a tenant or visitor is injured due to your negligence (e.g., unsafe stairs, faulty electrics, broken handrails).

5. Legal Expenses Insurance

Covers legal costs related to:

  • Evictions or tenant disputes
  • Damage recovery claims
  • Breach of tenancy agreements
  • Pursuing unpaid rent

Legal Requirements That Affect Your Insurance

Operating an HMO means more legal responsibilities, and failure to comply can invalidate your insurance:

  • Fire Safety Compliance
  • Smoke and heat detectors
  • Fire alarms and extinguishers
  • Fire doors and clear escape routes
  • Routine fire risk assessments
  • General Health & Safety
  • Annual gas safety checks
  • Safe electrical systems (EICR)
  • Maintaining clean and safe communal areas

Tips for Choosing the Right HMO Policy

✅ Work with a broker who understands the nuances of HMO risks
✅ Check for tenant exclusions (e.g., students, housing benefit claimants)
✅ Look for added benefits like:

Emergency repair assistance

Regular property inspection clauses

Cover for malicious damage by tenants

Speak to an HMO Insurance Specialist

Every HMO is different, and so are its risks. At LBH Insurance, we specialise in sourcing tailored cover for landlords, whether you own a single HMO or a large portfolio.

For expert advice or a no-obligation quote, call our dedicated property insurance team today:

Call us on 01702 347889 for a no-obligation, competitive quote—and peace of mind that your cover reflects both your risk and your reputation or email enquiries@lbhinsurance.co.uk.

Your property is a business—make sure it's protected like one.