UK Landlord Forum / Life

Hi all - I have a student tenant who signed a 12-month tenancy agreement which expires Sep 2021. Recently he threatened to vacate the property but my understanding is that he will still be responsible for the rent of the remaining term. My insurer, Aviva, turned down my claim, saying that the tenant made a decision to give up possession by returning the keys, quoting from the T&Cs that "Cover for Rent Arrears shall cease immediately when the Insured gains vacant possession of the Premises of The Premises are re-let, whichever is the sooner". I would think the moment the tenant terminate the contract, the rent of the remaining term becomes due and payable, hence the rent insurance should have this covered?

Does anyone have any experience with dealing with rent insurer and tenant early surrender?  Any advice would be much appreciated!

When there's a fixed term tenancy, and the tenant wish to leave early by offering to surrender their tenancy explicitly or them doing a runner and say "here's the keys", the landlord have two options: 1) say no and let the tenancy runs to the end of its term, possibly leaving the property empty save taking only the necessary action in making sure it's secured; or 2) accept the offer of surrender, with out without agreeing to any extra terms between the parties such as tenant will pay for cost of looking for a new tenant etc., and take possession of the property. If the landlord accept the surrender and take possession of the property, then the tenancy ends, and with it any further rent liabilities.

From what you posted, the insurer is saying you took possession, hence the tenancy ended, there's no further rent liabilities for the tenant, hence nothing for them to pay.

Another example of why I have not had this type of insurance for many years.Waste of money I found.