Property insurance
HMO Insurance
landlord cover for a shared house let by the room, rated for more tenants, shared areas and fire safety
Landlord cover for a shared house let to several households. Declaring the HMO, and keeping fire safety and licensing in order, matter as much as the cover itself.
- House shares, student lets and bedsits
- Buildings, rent and liability
- Licensed and smaller HMOs
- FCA authorised and regulated
Quick answerHMO insurance is landlord cover for a house in multiple occupation, where tenants from separate households share facilities such as a kitchen or bathroom. More people and shared areas change the risk, so a standard landlord policy may not fit. HMO cover can protect the building, rent and your liability, with fire safety and licensing shaping the terms. Tell MyMoneyComparison.com about the house once, and specialist UK brokers can come back with quotes.
This page is about shared houses let by the room. A home let to one household is on our buy-to-let landlord insurance page, and several let properties on property portfolio insurance.
At a glance
HMO Cover, in Brief
Six things that decide how HMO insurance behaves, before any of the detail.
- Several households
- Tenants who share a kitchen or bathroom
- The building
- Insured for its rebuild figure
- Fire safety
- Alarms, fire doors and escape routes shape the terms
- Licensing
- Whether the property needs a licence, and holds one
- Loss of rent
- Rent lost from several rooms after an insured event
- Communal areas
- Kitchens, lounges and hallways shared by tenants
The basics
What Is HMO Insurance?
Landlord cover for a house in multiple occupation, where tenants from separate households share facilities. It is rated for the extra people, shared areas and fire risk.
Buildings
The structure and fixtures, for the rebuild figure.
Loss of rent
Rent lost while rooms cannot be let after an insured event.
Property owners’ liability
Injury or damage to tenants, visitors and others.
Landlord contents
Furniture and appliances in rooms and shared areas.
Legal expenses
Tenant disputes and rent recovery, as an optional extra.
Employers’ liability
Where you employ cleaners or a manager.
How it works
How Does HMO Insurance Work?
You describe the house, the rooms and the tenants, confirm licensing and fire safety, set the sums insured, and the insurer sets the terms.
You describe the house
Type, construction, location, number of bedrooms and shared facilities.
You describe the tenants
Students, professionals or others, how rooms are let and how often tenants change.
You confirm licensing and fire safety
Whether a licence is needed and held, and the fire precautions in place.
You set the sums insured
A rebuild figure, contents and rent. The method is in our guide to calculating a rebuild value.
What it covers
What Does HMO Insurance Cover?
The building, rent and your liability, with contents, tenant damage and legal expenses available on many policies.
| Section | Where it sits | What to know |
|---|---|---|
| Buildings | Core | For the full rebuild figure |
| Loss of rent | Core or optional | Check the indemnity period |
| Property owners’ liability | Core | The limit is set on your schedule |
| Landlord contents | Optional | Rooms and communal areas |
| Accidental damage | Optional | Including damage by tenants on some policies |
| Malicious damage by tenants | On some policies | Can carry a higher excess |
| Legal expenses and rent guarantee | Optional | Can depend on tenant referencing |
Tenants insure their own belongings. Your policy covers the building and what you supply, not tenants’ personal possessions.
Exclusions
What HMO Insurance Does Not Include
Cover can exclude an undeclared HMO, wear and tear from shared living, losses where fire or licensing conditions were not met, and tenants’ own belongings.
Undeclared HMO use
A shared house insured as a single let.
Wear and tear
The gradual effect of several tenants sharing.
Unmet fire conditions
Where required alarms or doors were not in place.
Tenants’ belongings
Personal possessions in each room.
Rent arrears
Unless rent guarantee cover was added.
Long empty periods
Beyond what the policy allows, such as over summer.
Types of HMO
Which Shared Houses Can Be Covered?
A wide range of shared houses, from a small house share to a large licensed HMO. Size, tenants and licensing shape the terms.
Professional house shares
Working tenants renting by the room.
Student houses
Let to students, often by the academic year.
Larger licensed HMOs
Bigger houses that need a licence.
Bedsits
Rooms with some private facilities and shared areas.
Co-living houses
Managed shared homes with communal spaces.
HMO flats
Flats let to several sharers.
A whole block of flats? See our block of flats insurance page.
Who it is for
Who Needs HMO Insurance
Any landlord letting a property to tenants from more than one household who share facilities.
HMO landlords
Letting a shared house by the room.
Student landlords
Letting to groups of students.
Investors converting to HMO
Turning a family home into a shared house.
Limited companies
HMOs held in a company.
Rent-to-rent operators
Managing and subletting rooms, where the owner agrees.
Portfolio landlords
HMOs alongside other let property.
HMO or standard
HMO Cover vs a Standard Landlord Policy
A standard landlord policy expects one household. An HMO has more people, shared areas and a higher fire risk, so it needs cover rated for that.
| HMO cover | Standard landlord policy | |
|---|---|---|
| Built for | Several households sharing | One household |
| Rating | Rooms, tenants and fire safety | The property and tenant type |
| Communal areas | Covered | Not a feature |
| Licensing | Can be a factor | Not usually |
Letting to one household? See our landlord insurance page.
Cost
What HMO Insurance Is Priced On
The building, its rebuild figure, the number of rooms and tenants, the tenant type, fire safety, licensing, the location and the claims history. We do not print average premiums.
Why the tenants lead
More tenants, higher turnover and shared kitchens raise the chance of fire, water damage and wear.
Why fire safety matters too
Linked alarms, fire doors, emergency lighting and clear escape routes can change both the price and the terms.
What the quote is rated on
The main factors
- Rebuild figureThe buildingBase
- Rooms and tenantsHow many, and whoRate
- Fire safetyAlarms, doors and escape routesRate
- LocationCrime and flood exposureRate
- HistoryPast claimsAdjust
Security
Good locks on the front door and rooms can help the terms.
Leak prevention
Shared bathrooms mean more water use.
Tenant referencing
Can help the terms for rent guarantee.
The details
The Licensing and Fire Safety Details That Decide an HMO Claim
HMO claims can turn on whether the property was declared as an HMO and kept safe. Four details come up again and again.
Declare the HMO
Tell the insurer how many tenants and households live there, and update them when it changes.
Hold the right licence
Licensing requirements differ across the UK and between councils. Check with your council and keep any licence current.
Keep fire safety in place
Alarms, fire doors, emergency lighting and escape routes as the property needs, with dated checks.
Manage empty periods
Student houses can stand empty over summer. Know the permitted empty period and tell the insurer about longer gaps.
Standing empty between lets? See our unoccupied property insurance page.
Quote checklist
What You Will Be Asked for an HMO Quote
Six things shape the quote: the house, the rooms and tenants, licensing, fire safety, the sums insured, and the claims history.
The house
Type, age, construction and address.
Rooms and tenants
How many, and who they are.
Licensing
Whether a licence is needed and held.
Fire safety
Alarms, fire doors and escape routes.
The sums insured
Rebuild figure, contents and rent.
Claims history
Recent claims and any refusals of cover.
Comparing
Checking HMO Quotes Side by Side
Four areas decide whether a policy suits the house: the cover, tenants, the conditions, and cost terms. The price is only one of them.
The cover
- Buildings and contents
- Loss of rent across rooms
- Property owners’ liability
Tenants
- Tenant types accepted
- Damage by tenants
- Empty periods allowed
Conditions
- Fire safety requirements
- Licensing conditions
- Security terms
Cost terms
- The excess
- Higher excesses for some events
- Paying monthly or upfront
Check the fire safety conditions. They need to match what is in the house. Unfamiliar terms are explained in our plain English jargon guide.
Cutting costs
How to Reduce the Cost of HMO Insurance
The levers are fire safety, tenant referencing, an accurate rebuild figure, and the excess. We publish no savings figures.
Keep fire safety current
Alarms and fire doors can help the terms.
Reference tenants
It can be a condition of rent guarantee cover.
Get the rebuild figure right
Too high can waste premium; too low can lead to a reduced claim.
Keep up maintenance
Regular checks of shared kitchens and bathrooms.
Improve the security
Good locks on the front door and rooms.
Choose the excess deliberately
A higher excess is a lever, worth using only at a level you could absorb.
Glossary
HMO Insurance Terms Explained
The words that come up most on an HMO insurance schedule.
- HMO
- A house in multiple occupation, let to tenants from separate households who share facilities.
- Household
- A single person, or people who are related or a couple living together.
- HMO licence
- A licence from the council that some HMOs need.
- Communal areas
- Kitchens, bathrooms, lounges and hallways shared by tenants.
- Bedsit
- A room with some private facilities in a shared house.
- Loss of rent
- Cover for rent lost while rooms cannot be let after an insured event.
- Rebuild figure
- The cost of rebuilding the property, not its sale price.
- Rent guarantee
- Cover for unpaid rent, subject to conditions.
- Property owners’ liability
- The owner’s liability for injury or damage caused by the property.
- Excess
- The part of each claim you pay yourself.
Why MyMoneyComparison.com
Why Compare HMO Insurance with MyMoneyComparison.com?
MyMoneyComparison.com is an FCA-authorised UK comparison service that introduces property owners to specialist brokers. We do not sell insurance and we do not give advice: the broker you choose arranges the policy. Using us is free.
One form, one property
Describe the property once, instead of repeating yourself to each broker.
Advice given
We are an introducer, not a broker. We do not sell policies and we do not recommend one insurer or product over another. Read our editorial policy.
Authorised and regulated
MyMoneyComparison.com Ltd appears on the FCA register under FRN 916241.
Incorporated
A UK company since 2013. FCA authorisation is separate and later; the register carries its date.
FAQs
HMO Insurance FAQs
Answers on licensing, fire safety, student lets and tenant damage.
What is HMO insurance?
Landlord cover for a house in multiple occupation, where tenants from separate households share facilities such as a kitchen or bathroom. It covers the building, rent and liability, rated for shared living.
What counts as an HMO?
Broadly, a property let to tenants from more than one household who share facilities. The exact definitions and licensing rules differ across the UK nations and between councils, so check with your local council.
Will my standard landlord policy cover an HMO?
Often not. Many standard landlord policies are written for a single household. Letting as an HMO without telling the insurer could affect a claim, so declare how the property is let.
Does my HMO need a licence?
Some HMOs need a licence from the council, depending on their size, location and local schemes. Check with your council, as insurers can ask whether a licence is needed and held.
Why does fire safety matter so much?
More people and shared kitchens raise the fire risk. Insurers can ask about linked smoke alarms, fire doors, emergency lighting and escape routes, and set conditions for them.
Is loss of rent covered?
Many HMO policies include loss of rent, covering rent lost from rooms that cannot be let after an insured event, such as a fire. Choose an indemnity period long enough to repair and relet.
Are tenants’ belongings covered?
No. Your policy covers the building and the contents you supply. Tenants need their own contents insurance for their personal possessions, so it can help to remind them when they move in.
Is damage by tenants covered?
Accidental damage by tenants can be covered on some policies, and malicious damage on others, often with a higher excess. Check the wording, especially for student lets.
Can I insure a student HMO?
Often, yes. Student houses can be covered, with the tenant type declared. Empty periods over summer can carry conditions, so tell the insurer when the house will stand empty.
What if the house is empty between lets?
Policies allow a set empty period, which differs between insurers. Longer gaps, such as over the summer, can bring conditions such as inspections or turning off the water.
Is property owners’ liability included?
Many HMO policies include it, covering injury or damage to tenants, visitors and others caused by the property, such as a fall on the stairs. Check the limit on the schedule.
Is rent guarantee included?
Not usually as standard. Rent guarantee and legal expenses are optional extras, and they can depend on tenants being referenced before they move in, so check the conditions.
Can I insure several HMOs together?
Often, yes. Landlords with several HMOs, or HMOs alongside other lets, can arrange them on one portfolio policy, with each property rated on its own details.
Does converting a house to an HMO affect cover?
Yes. Tell the insurer before the change, not after the first tenants move in. Conversion work can need declaring, and once the house is let as an HMO the cover needs to reflect that.
Does it cover a rent-to-rent arrangement?
Some insurers can cover it where the owner agrees, but the owner, the operator and the tenants all need to be clear. Describe the arrangement fully when you ask for quotes.
How do I compare HMO insurance quotes?
Look beyond the price to the buildings and contents cover, loss of rent, tenant types accepted, fire safety and licensing conditions, empty periods, liability and the excess.
Ready when you are
Get Quotes for Your HMO
Tell us about the house and its tenants. Specialist UK brokers can then come back with quotes. Free to use, with no obligation to buy.
- House shares, student lets and bedsits
- Free to use, no obligation
- FCA authorised and regulated
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About this page
This page explains UK HMO insurance: what it covers, what it leaves out, and how declaring the HMO and keeping fire safety in order decide a claim. It is general information rather than advice. Policies differ between insurers, so read your own documents and put the questions raised here to your insurer or broker.
How we approached this page
- Published UK HMO and landlord policy summaries
- Fire safety, tenant damage and unoccupancy terms
- Financial Ombudsman material on property insurance complaints