Australian landlord survey 2025: insights on property investment and insurance
- Based on QBE’s survey of Australian landlords, 44% were families who owned rental properties for additional income
- 56% had landlord insurance, which may cover damage caused by tenants and their pets, and potentially loss of rent
- 38% of landlords would face financial difficulty if their rental property was unliveable, or rent wasn’t paid for more than 2-6 weeks
In April 2025, QBE commissioned a survey of 500 Australian landlords, to uncover valuable insights about property investment, insurance coverage, tenant behaviour, and more. These findings provide a clear picture of how Australian landlords are navigating management and insurance for their rental property.
We found that 87% of landlords own one or two rental properties and 70% manage rental properties through a real estate agent. 30% had experienced tenant damage, which 61% claimed on insurance. And 35% of landlords had seen tenants fall behind in rent.
An interesting finding was that while 56% have landlord insurance, 43% have home insurance.
What drives Australians to invest in property?
Analysis of the survey data showed patterns emerging around the characteristics of landlords, and their reasons for investing in property. They generally fell into the following four categories: Mum & Dad Investors, Asset Builders, Rent-vestors, and Retirement Funders.
“The majority of our landlord insurance customers are individual or family investors,” explains Tony Waizer, QBE’s Technical Manager – Householders.
This highlights the trend of families investing in rental properties for additional income.”
How landlords manage rental properties
70% of landlords have a real estate agent to manage their rental property. They leave it to the agent to take care of rent collection, inspections, and any repairs needed.
18% lease their property direct to the tenant, indicating they’re happy to take on the responsibilities themselves, saving them the cost of agent fees.
Related article: Landlord insurance for rental properties
Why are inspections so important?
Whether you manage your rental or have an agent to act on your behalf, regular inspections are crucial. If your property isn’t well maintained and gets damaged, you run the risk of your insurance claim being denied.
“If your rental isn’t inspected regularly, you have no way of knowing if the tenant is looking after it, putting your investment – and potentially your insurance policy – at risk,” said Waizer.
We asked landlords how often their real estate agent inspected their rental properties. Overall, the results were promising.
- 38% had quarterly inspections
- 46% had inspections every six months
- 13% had annual inspections
- 3% didn’t have regular inspections – or didn’t know
Maintenance is particularly important for properties that could be affected by severe weather events, such as storm and flood.
For example, if roofs, guttering and downpipes aren’t regularly checked and free from debris, water could enter the home and cause damage that may otherwise have been avoided.
Based on 2024 claims data, QBE’s highest volume of landlord insurance claims were for storm damage, water damage, and theft.*
- Victoria accounted for the highest number of claims across all three categories.
- NSW had the second highest number of storm damage claims and Queensland came in second for water damage claims.
* Figures from QBE Australia claims data across Australia, 1 January – 31 December 2024.
What does landlord insurance cover?
There’s key a difference between landlord insurance and home insurance. While home insurance can provide cover for important things like storms, flood and bushfire, landlord insurance features extra benefits specifically tailored to property investors.
Related article: Home insurance and landlord insurance: what’s the difference?
Does landlord insurance cover tenant damage?
Many insurers, including QBE, provide cover for malicious damage by tenants and damage caused by tenant’s pets, and some insurers may offer it as an extra option. Some insurers such as QBE may also include cover for drug lab contamination.
“The majority of landlords want protection against tenants and the damage they can do.”
Does landlord insurance cover rent default by tenants cover?
Survey results revealed most landlords need rent default cover to protect their mortgage repayments, or to support the income they rely on from their rental property.
For example, 35% of landlords have had a tenant fall behind in rent and over 40% have claimed on rent default cover. But 17% found it wasn’t covered because they didn’t have the right policy, or they didn’t take out the rent default option.
Some landlords won’t need it because they’re renting to family or friends, or they’re comfortable covering the risk themselves. That’s why rent default cover is optional with QBE Landlord Insurance.
Is landlord insurance compulsory?
It depends. In some cases, a mortgage provider will require the borrower to have landlord insurance in place, as part of the loan. Many landlords choose to have it to protect themselves against tenant damage and loss of rent – which could leave them substantially out of pocket.
We asked landlords their primary reason for having landlord insurance.
- 13% said it was a requirement of their mortgage
- 12% said it’s aligned to their specific needs
- 59% said it’s a safeguard against unknown tenants
- 5% said it’s tax deductible
- 11% said they couldn’t afford to pay for tenant damage or non-payment of rent
Landlords had different opinions on how soon financial problems would occur if the property was damaged, uninhabitable, or if rent payments stopped.
- 8% said they could last up to 2 weeks
- 30% said they could last 4-6 weeks
- 15% said they could last 8 weeks
- 13% said they could last 3 months
- 34% said they could last 6 months or more
Things to consider when exploring landlord insurance
- Does the policy include accidental damage cover?
- Does the policy include cover for loss of rent, if your tenant can’t live there as the property is damaged by, say a fire or storm?
- Does the policy cover rent default by your tenant, if they can’t pay rent due to loss of job, relationship breakdown, or illness?
- Does the policy cover damage caused by a tenant’s pet?
- Does the policy cover damage caused by tenants using the home as a drug lab?
- Is the limit of liability adequate if your tenant was injured at the property?
Based on our research, 89% of landlords agree that insurance gives them reassurance. But only half of landlords had a good understanding of what landlord insurance covers. To protect your investment, it’s worth exploring the options available to ensure you’re adequately covered.
You can find out more about QBE’s award-winning Landlord Insurance online or call us on 133 723.