Terri Scheer Landlord Insurance review

Terri Scheer Landlord insurance is good if you want a trusted provider but you can get bigger sign-up discounts elsewhere.

No reviews yet. Write a review
Landlord Insurance

Our Verdict

  1. It's good if you want a trusted and comprehensive insurer. Terri Scheer Landlord insurance is the most referred landlord insurer in Australia.
  2. It's good if you want residential building insurance as well — you can combine cover and get a 10% discount.
  3. Its 5% online discount isn't market-leading — Budget Direct, Virgin and St. George all offer more off.

Review by our insurance and innovations editor Gary Ross Hunter

We don't currently have this brand on our panel. But don't fret! You can head to www.terrischeer.com.au or compare a bunch of other landlord insurance companies with finder.

Compare landlord insurance fast

What cover options do I have?

The two cover types available are:

  • Landlord Insurance. General protection to cover furnishings, tenant default or unpaid rent for other reasons, and a range of miscellaneous events. Landlord cover also insures the building against damage caused by tenants.
  • Building Insurance: Insurance to cover damage to the structure and fixtures, as well as subsequent loss of rental income, resulting from weather events and other hazards.

You can take out just one or the either, or you can combine both for a 10% discount off premiums. Here’s some more information about those categories of insurance, to help you decide what you need.

What does Terri Scheer's Landlord Insurance cover?

Terri Scheer's Landlord Insurance covers you for tenant-related risks like loss of rental income and damage to your property by tenants.

Terri Scheer offers two different types of landlord cover:

  • Long stay rental cover. Designed for properties being used as extended rentals. Available for self-managed properties, as well as landlords who use a property manager.
  • Short stay rental cover: Designed for short-stay properties such as holiday home rentals. Only available for landlords who use property managers.

Each type of Terri Scheer Landlord Insurance policy covers similar situations, but the payouts and insured events vary, with regard to:

  • Loss of rent
  • Building and contents
  • Legal liability and tax audit

Let’s briefly review each of these.

What's covered?

Loss of rent

This covers your lost earnings when a tenant doesn’t pay rent, whether it’s because they won’t or they can’t.
Insured events include:

  • Tenants not paying rent. Whether it’s because they absconded, were evicted with outstanding rent, got a court-ordered hardship exemption or passed away, Landlord Insurance can help cover loss of income from unpaid rent. For short-stays, this generally only covers lost rent in the event of tenant’s death.
  • Untenantable properties. If a property cannot be rented out following an insured event, cannot be accessed because of damage to a nearby property, or if a previous tenant refuses to vacate, you can get covered for lost earnings.

If you are managing your own property, Terri Scheer Landlord Insurance can also help cover approved legal expenses incurred while trying to claim rent owed.

Building and contents

This section of the policy can insure your building and contents against damage caused by tenants or their guests. It also insures you against environmental damage, for example from fire and earthquake, but for contents only, not the building itself. You will still need to consider the separate Building Insurance policy for

It also insures you against environmental damage, for example from fire and earthquake, but for contents only, not the building itself. You will still need to consider the separate Building Insurance policy for more complete cover.
Contents specifically refers to:

  • Portable household goods and appliances, like kitchenware or whitegoods
  • Furniture and furnishings
  • Curtains, blinds, carpets and floor rugs, except rugs that are permanent
  • Floating timber floorboards, that are not affixed to a sub-floor
  • Above ground pools
  • Manchester and linens (only if you are managing your own property)

If the insured contents are damaged by an insured event, landlord insurance can cover the cost of damage.

Legal liability and tax audit

You are covered for up to $20 million of legal liability costs if you, as either the landlord or property owner, are legally liable for someone’s death, injury or property damage. This includes legal expenses, or amounts recoverable from you.
A range of specific conditions apply, for example if you are held liable for a tenant’s illness as a result of asbestos on the property.
You can get covered for professional expenses incurred in responding to a tax audit of the insured property. This specifically refers to audits carried out in relation to the lodgement of a tax return.

What does Terri Scheer's Building Insurance cover?

Terri Scheer Building Insurance is a lot like standard home insurance, except it can also pay for the resulting loss of rent after insured events.
There are three parts to the Building Insurance:

  • Damage cover. Following an insured event, this pays out to cover the damage or loss, up to the sum insured.
  • Loss of rent: Following an insured event, pays out to help cover loss of earnings from the property being untenantable.
  • Legal liability: The same type of liability cover as you can get with the Landlord Insurance, with up to $20 million for your legal liability as the property owner or landlord.

What events am I covered for?

Insured events under your Building Insurance include:

  • Accidental loss or damage
  • Earthquake
  • Fire or explosion
  • Flood
  • Impact
  • Storm or lightning
  • Malicious damage, theft or vandalism
  • Escape of liquid
There is no cover for actions of the sea, tidal waves or tsunamis under Terri Scheer Building Insurance, and conditions may also apply to specific events.

How you’re covered for loss of rent

If a building is untenantable for a period of at least 7 days after one of the following events, you may claim for lost rent.

  • Malicious damage by unknown persons
  • Theft
  • Fire or explosion
  • Lightning
  • Earthquake
  • Riot or civil commotion
  • Water or oil leakage
  • Impact
  • Flood
  • Storm or rainwater
  • Accidental glass breakage or electric motor burnout

The conditions are slightly different depending on whether it’s a permanent tenancy or a holiday rental property.

  • Permanent residency. Up to 52 weeks worth of lost rent until the property becomes tenantable, a new tenancy commences, or the policy limit is reached, whichever comes first. The amount paid is determined by the lesser of either the current tenant’s weekly rent or the weekly rent sum insured, multiplied by the relevant number of weeks.
  • Holiday rental. Up to 52 weeks worth of lost rent, to a maximum of $50,000 per period of insurance, until the property becomes tenantable, a new booking commences or the limit is reached, whichever comes first. The amount paid is determined by the value of unpaid or returned rent or deposits, or the relevant shortfall compared to the previous year.

What kind of exclusions are there?

The exact conditions and exclusions vary between building and landlord insurance, between different types of rental property and for certain claims.
Generally:

  • You should take all appropriate steps to prevent further damage or loss, and to restore your property to a tenantable state as soon as possible.
  • You should keep Terri Scheer informed of any relevant situations, and let it examine or access insured property as needed.
  • Some types of cover are only available to you in your capacity as a landlord. For example, there is no cover for theft caused by non-paying guests and your policy may not be active if you are residing in the property, or it is vacant and you are not looking for tenants.
  • Waiting periods may apply. For example, you may not be able to claim for a tenant default if you took out the policy after that tenant was already in arrears.
  • You will need to use up the entirety of the bond, where applicable, before you can claim on insurance.

General exclusions also apply. Usually, there is no cover for:

  • Acts of war
  • Actions or movement of the sea
  • Erosion, subsidence, landslide or mudslide, except as the result of another insured event such as a storm or flood
  • Loss or damage resulting from your tenant’s poor housekeeping, except as explicitly covered by the policy
  • Rust, mold, mildew, wear and tear and similar deterioration unless it’s caused by an insured event
  • Damage resulting from tree roots
  • Reptiles, under pet damage cover
  • The tenant using the premises for trade, manufacturing or childcare with your knowledge, or you using the premises for any business, other than in your capacity as the landlord

What's the excess like?

The excess payable may vary depending on the claim, the type of policy, your location and the standard excess chosen by you.
Where you are able to choose your own excess, you may select a higher amount for lower premiums, or a lower amount for higher premiums.
Terri Scheer reserves the right to raise the excess in certain situations, such as based on your claims history, location or in other unusual circumstances.

Short stay and managed Landlord Insurance excess
  • Loss of rent, tax audit, lock replacement, removal of goods and representation costs: $0
  • Malicious and accidental damage, and scorching: $250 excess ($500 in NT)
  • Earthquake: $200
  • All other claims: $100
Self-managed property Landlord Insurance excess
  • Loss of rent: 1 week’s worth of rent
  • Malicious and accidental damage, and scorching: Your choice of either $250 or $500
  • Earthquake: $200
  • Replacement of locks, bailiff fees, removal of goods, liability and tax audit: $0
  • All other claims: $100
Building Insurance
  • Malicious and accidental damage: Your choice of $250, $500 or $1,000
  • Earthquake: $250
  • Loss of rent, liability and certain other benefits: $0
  • All other claims: Your choice of $250, $500 or $1,000

Terri Scheer landlord insurance FAQs


More guides on Finder

Ask a question

You are about to post a question on finder.com.au:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com.au is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Terms Of Service and Finder Group Privacy & Cookies Policy.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

2 Responses

    Default Gravatar
    BradJanuary 30, 2018

    Does TSI content insurance cover damaged fixed electrical appliances which do not have an electric motor i.e. electric oven (heating element), air conditioner (compressor/control circuit), hot water system (heating element)?

      Default Gravatar
      ArnoldFebruary 2, 2018

      Hi Brad,

      Thanks for your inquiry

      To answer your question, Yes, Portable household goods and appliances like kitchenware or whitegoods such as electric oven and airconditioners are covered by Terri Scheer’s Landlord Insurance. Alternatively, if you are looking to compare other options you may check them on the landlord insurance homepage. https://www.finder.com.au/landlord-insurance

      Hope this information helps

      Cheers,
      Arnold

Go to site