Should I let tenants know that I've taken rental guarantee insurance?

I guess this question will be more relevant once we’re over the pandemic and this kind of insurance becomes generally available again, but I’m just thinking ahead…

I can’t help thinking that it’s best not to let the tenants know that I’ve taken rental guarantee insurance because that might encourage them not to pay the rent because they know I’m covered and won’t lose out.

What do other people think? Responses will be much appreciated.


You know the answer to this. Would you tell a burglar that you do not lock your door?


Why would this be any of their business?


Thanks for the responses. I asked the question because, when scratching around in various landlord forums, I’ve seen landlords suggesting that in order to justify asking for a tenant referencing agency check on a long-standing satisfactory tenant you can tell them you want it so that you can get rental guarantee insurance.
I thought that was the wrong thing to do, now I’m sure it is.


When taking out building insurance as a landlord the form asked questions about the number of tenants and their employment status.

Perhaps you could use this scenario to explain to them why you need the information.

I would ask these questions irrespective of taking out insurance. On no account tell them you need it for insurance, no need to put any wrong ideas into their heads


I’ve never had a tenant ask me why I’m referencing them. It standard procedure in the industry and they generally know this too. However, within conversation and especially when guarantors are needed I normally mention I need all this information for insurance and mortgage purposes - I also stress that this is carried out by third party and I don’t hold any personal info. I don’t mention rent guarantee at all.