Fire damage at rented property

[bossoffive]

Hey everyone,

I'm a landlord facing a challenging situation and seeking some guidance on the next steps to take. Recently, a fire occurred at my rented property, resulting in significant damage to an outbuilding shed that my tenant was using for their business. Unfortunately, the shed is completely destroyed, leading to a loss of business equipment. The shed was constructed by the tenants with my permission prior to them renting the property.

Additionally, there is damage to the shared fencing, potential harm to my neighbour's garden, and the fire inadvertently caused damage to some of the pipes on my property, affecting garden flower bunkers. While the fire brigade responded and helped control the fire, the exact cause couldn't be determined, though it's suspected to be a possible short from the shed.

I have residential landlord insurance, but I'm unsure about the coverage it offers in this scenario. I presume it might cover the costs of the damage to the neighboring garden, fencing, and my property's pipes. However, I'm not certain about coverage for the tenant's loss of business equipment.

Moreover, I'm concerned about how informing my insurance company and attempting to claim for the damage might impact my premiums in the future. I am assuming I should be doing this and the company will ask for my tenants details to accept liability for the event. I want to ensure I handle this situation properly without causing any undue financial strain.

What steps should I take next? How can I navigate this situation in the best possible way for all involved parties?

Thank you in advance for advice!

[atticus]

Have you actually read your policy?

[bossoffive]

Have you actually read your policy?

I have had some time this evening to read through the policy. It's a Residential Only Policy as I was expecting, therefore I am assuming that would invalid the insurance as they most likely view a tenant printing T-Shirts in a shed in the garden a 'business'.

[atticus]

You have the advantage of having the full wording. That will tell you what is covered and what is excluded.

[des8]

.... and has your tenant purchased liability insurance?
IF it was his shed and his equipment which caused the fire which damaged both your property and your neighbours you could look to him for indemnity