Buy to Let Cover
Maximum Sums Assured for Buy to Let Cover
| BTL Loan | Maximum Cover | Requirements | |
|---|---|---|---|
| Life Cover | Critical Illness | ||
| Set up on personal basis | Full amount of loan up to a maximum of £2.5million | Full amount of loan up to a maximum of £1million | Dependent on Sum Assured |
| Over £2.5million | Over £1million - N/A | Assess on full financial evidence | |
| Set up as a business or company | Full amount of loan up to a maximum of £2.5million | Full amount of the loan up to a maximum of £1.5million | Dependent on Sum Assured |
| Over £2.5million | Between £1.5million and £2million* - IC is required | Assess on full financial evidence | |
Cover Subject to Drawdown of Loan
Normally cover is only required from the drawdown of the loan, although there is potential liability on exchange of contracts.
Buy to Let Mortgages
For applications <£5million - Do not need to have a qualifier of "cover subject to drawdown of loan".
For applications of £5million and above - Require qualifier "cover subject to drawdown of loan" if requested to go on risk from exchange of contracts.
