Landlord insurance taken while tenants were in rent arrears

If you take Landlord insurance while tenants are in arrears with the payment, insurance wouldn't cover the loss of rent. How about malicious damage? Would that be covered when they leave the property and if the property is damaged?? Thank you

 

Unless policy has no waiting periods or existing damage, shouldn't be an issue I guess ...

 

Generally no, they need to be clear for 2+ months before you can take cover out. This is a trap for buyers who don't do solid due diligence during purchase where they purchase a property that's currently tenanted and the tenants are in arrears etc at settlement prohibiting them form taking out landlords insurance and potentially being left wide open to getting reamed if the tenants mess it up. Scary.

 

It depends on the insurer, and is arguable. I expect that even if it was technically allowed, they would ask for solid evidence that there were no issues outside of the arrears that could have led you to expect that you would need to make a malicious damage claim.

Basically, they want to make sure you haven't insured just because you've got ****** tenants on your hands who are probably going to fall further in arrears, be difficult and spitefully trash the house.