Why legal protection insurance for landlords in Switzerland?

What are common points of contention with tenants?

Frequent points of contention with tenants are the following:

• Rent amount: A drop in the reference interest rate does not automatically mean that your tenant is entitled to a rent reduction, especially if inflation and cost increases have not been taken into account for several years.
   
• Defects in the apartment: If your tenant's refrigerator has been leaking for months and the drawer underneath is broken, the tenant may have to pay for the resulting damage if they reported the defect too late.
   
• Termination of the rent agreement: Due to a change in your professional situation, you want to reuse your apartment in the city that you are currently renting out. The current tenant is asking for a lease extension of several years.
   
• Damage caused by the tenant: One of your tenant's potted plants has left a black mark on the oak parquet floor. The tenant believes that she does not have to pay for the damage because the parquet flooring has already reached the end of its useful life.
   
• Security deposit: As long as the issue of damage to the parquet flooring remains unresolved, you do not want to release the security deposit. Suddenly, you receive a request for release from your former tenant's lawyer.
   
• Late payment: Even though total payment defaults are rare in Switzerland, disputes over late payments and challenges to termination in cases of insolvency are becoming more common. If these disputes are taken to court, it can be expensive.

What is the approximate cost of legal protection for landlords?

The cost of legal protection for landlords varies depending on the type and number of properties rented, as well as the services selected. Therefore, request a no-obligation consultation. Protekta is the legal protection insurance provider of Mobiliar and our partner in the field of legal protection.

Legal protection costs for landlords can be deducted from taxes as property maintenance costs for rented properties. However, you cannot pass these costs on to your tenants.

What does legal protection for landlords cover?

What legal protection for landlords covers depends on the insurer. The answer to the following question tells you what you need to consider when taking out legal protection insurance. The following benefits refer to Protekta's legal protection for landlords.

• Legal advice by telephone from experienced legal experts: Protekta's legal protection for landlords provides you with legal advice by telephone, even for legal questions that are not covered by the insurance.
   
• Coverage of costs in insured legal cases: Protekta covers the costs necessary to assert your rights, up to the agreed insurance amount. This mainly includes mediation, attorney, court, and procedural costs, costs for necessary expert opinions, and any compensation to the opposing party.
   
• Comprehensive real estate legal protection: In addition to legal disputes with tenants, Protekta also covers disputes with neighbors, authorities, and tradespeople that arise in connection with insured real estate.

What should I pay attention to when taking out a policy?

When taking out legal protection insurance for landlords, check the following points carefully:

• As a landlord, are you really covered? Even if tenancy law is often already covered by private legal protection insurance or, for businesses, by professional legal protection insurance, generally only tenants are insured. As a landlord, you usually need additional insurance.
   
• When does legal protection for landlords take effect? Most legal protection insurance policies have a three-month waiting period (grace period). During this period, you can obtain legal advice by telephone, but disputes that arose before the contract was concluded or during the waiting period are not covered.
   
• Can you participate in the choice of your legal representative? Especially when large sums of money are involved, you want to be able to choose the lawyer who will represent you. Therefore, opt for legal protection insurance for landlords that gives you at least a limited choice of lawyers. In this case, the insurance company must accept one of the lawyers you propose.
   
• What is excluded from legal protection for homeowners? If you take out legal protection just for homeowners, disputes with neighbors or tradespeople related to your property are not covered. It is better to take out comprehensive real estate legal protection that meets your needs.