Prevention and protection

Rental Insurance vs Tenant Vetting

Good tenant vetting reduces risk. Rental insurance protects the landlord when a vetted tenant’s circumstances later change. A sound rental strategy uses both.

ApproachPrimary roleWhen it helps
Tenant vettingRisk prevention and selectionBefore accepting or renewing a tenant
Rental insuranceRisk transfer under a policyAfter a qualifying insured default
Active managementEarly detection and documentationThroughout the lease

What vetting can test

With appropriate consent, vet identity, affordability, employment or income, credit information, references and rental history. Apply consistent, lawful criteria.

What vetting cannot predict

A tenant’s future job loss, illness, business failure or household shock cannot be eliminated by a good score on application day.

The combined approach

Vet before occupation, sign a complete lease, monitor rent from day one, keep records and maintain suitable cover before any default is known.

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