UK renters risk being thrown out on their ear by landlords should they get sick, as only 29% say they could pay next month’s rent if they were unable to work due to illness.
The research by protection company LifeSearch shows that just 14% of renters think they could manage to still pay their rent for more than three months if they were unable to work.
The study of 1,000 renters in the UK found that their lack of preparedness for a major financial shock is stark.
Just 28% say their finances could cope with being signed off work sick for a long period of time; 22% say they could cope with being diagnosed with a serious illness; and just 14% say they’d be able to cope financially with having a loved one fall seriously ill.
In emergencies tenants borrow from family members (36%), dip into cash savings (35%), liquidate their investments (18%), use a short-term loan provider (6%) or claim on a protection policy (4%).
A spokesperson for LifeSearch says: “With a broader cross-section of the population renting a property for a home, protecting the rights of renters has received significant attention, especially in recent months as rental prices have surged. However, while this is undoubtedly important, the financial knife-edge on which many renters are living has gone under the radar. The security and peace of mind offered by an insurance protection policy can be transformative.”
