Townsville’s tropical weather makes insurance more important here than in most places. Building insurance protects the structure, but it usually doesn’t cover the risks that come with renting a property out. This is general information, not insurance advice. Always read the product disclosure statement (PDS) and speak to your insurer or broker.
Building vs landlord insurance
Building insurance covers the structure itself against events like fire and storm.
Landlord insurance is designed for renting risks, such as loss of rent, damage by tenants and legal costs. Many owners need both, or a combined policy. If the property is in a body corporate, the building is usually insured by the body corporate, but your contents and rental risks aren’t.
Loss of rent and rent default
Check whether the policy covers:
- a tenant who stops paying rent
- lost rent while the home can’t be lived in after an insured event
- how many weeks are covered, and any excess or waiting period.
Damage by tenants
Policies often treat malicious damage (deliberate) differently from accidental damage. Check both, and whether damage by a tenant’s pet or guests is included.
Cyclone, storm surge and flood
This matters most in Townsville. Ask:
- Is flood covered, and how does the policy define flood?
- Is storm surge (storm tide) covered? It’s often treated separately.
- What excess applies to cyclone claims?
Insurers can stop selling new cover once a cyclone is forecast, so review your policy well before November.
Legal costs
Some policies cover legal costs if a dispute goes to QCAT, such as rent arrears or damage claims. Check the limits and what evidence the insurer needs, like breach notices, condition reports and the rent ledger.
Make claims easier
A good record makes an insurance claim far simpler. We keep entry, routine and exit reports with dated photos, the rent ledger, and copies of every notice, and we’ll help prepare the paperwork if you need to claim. See our cyclone season checklist.