This article was updated on 17th September 2026
Taking in a lodger can provide useful additional income, but it can also change the way your home is viewed by your insurer.
If another person moves into your home as a paying lodger, you should tell your insurer. The change in occupancy could affect your premium, policy terms or the cover available, depending on the insurer and your circumstances.
This guide explains how taking in a lodger can affect home insurance, what to consider before they move in, and some of the other responsibilities that can come with becoming a resident landlord.
A lodger generally rents a room in a property where their landlord also lives. They will often share facilities such as the kitchen, bathroom or living room with the homeowner.
The precise legal status of the arrangement can depend on how the accommodation is set up and which facilities are shared.
In England, GOV.UK distinguishes between lodgers who are likely to be excluded occupiers because they share living space with their landlord, and those who may have basic protection where living space is not shared.
A lodger can also occupy under either a tenancy or a licence, so the distinction is not always as simple as “lodger versus tenant”.
From a home insurance perspective, one of the important factors is that you remain resident at the property. This is different from moving elsewhere and letting your whole home to tenants, where a different type of insurance will normally be required.
If you own and continue to live in your home while taking in a lodger, tell your insurer and make sure your policy is suitable for the new occupancy.
See the GOV.UK guidance on lodger tenancy types for more information.
Before taking in a lodger, check whether there are any restrictions or permissions that apply to your property.
If you own your home outright, there will not normally be a mortgage lender to seek permission from, although other restrictions could still apply.
If you have a mortgage, check the terms of your mortgage agreement and contact your lender if required. Taking in a lodger without any permission required under your mortgage terms could put you in breach of those terms.
If your home is leasehold, review the lease as well. Some leases restrict subletting or require consent before another person can occupy part of the property.
If you rent rather than own the property, check your tenancy agreement and obtain any permission required from your landlord before taking in a lodger.
You should tell your home insurer if you plan to take in a lodger.
Home insurance is arranged using information about the property, how it is occupied and who lives there. Adding a paying occupant changes that information and may affect whether your insurer can continue to provide the same cover, premium or terms.
If you do not tell your insurer about a relevant change in circumstances, it could affect how a future claim is handled or whether your existing policy remains suitable.
The safest approach is to contact your insurer before the lodger moves in and ask them to confirm whether anything needs to change.
If you already have a policy with Intelligent Insurance and need to tell us about a change in occupancy, see our Amend My Policy page.
Home insurers assess a property partly according to who lives there and how the home is used.
A lodger introduces another resident who may have their own keys, visitors and access to shared areas. This can change how an insurer assesses the risk and may result in different terms, conditions or exclusions.
For example, some policies may treat theft, malicious damage or accidental damage differently where a lodger is living at the property.
Some policies restrict theft cover where someone has been allowed access to the home or where there is no evidence of forced or violent entry.
You should therefore not assume that theft involving a lodger or one of their visitors will necessarily be treated in the same way as a conventional burglary. Check the terms and exclusions of your policy.
Cover for damage caused by a lodger can depend on both the circumstances and the policy wording.
Accidental damage may require optional accidental damage cover, while deliberate or malicious acts can be subject to separate exclusions.
Having another person regularly living in your home may also affect liability considerations.
Your home insurance may include liability protection, but the scope, limits and exclusions will depend on the individual policy.
Some insurers may change the premium, apply different terms or request additional information once a lodger is declared. Others may not be able to accommodate the arrangement under their standard home insurance products.
Every insurer has its own underwriting criteria, so there is no single outcome when you tell them you are taking in a lodger.
Depending on the circumstances, your insurer may:
If your current insurer cannot accommodate a lodger, it does not necessarily mean your home cannot be insured.
Our Home Insurance with Lodgers page explains the cover we may be able to arrange for homeowners who continue living at the property while renting out a room.
Your home contents insurance will generally be arranged to protect your own belongings rather than possessions owned by your lodger, unless the insurer has specifically agreed otherwise.
A lodger who wants to protect items such as clothes, electronics, furniture or other personal possessions may therefore want to arrange their own contents insurance.
If you are a lodger rather than the homeowner, see our Shared House Contents Insurance page for more information about protecting your own belongings while living in shared accommodation.
If you provide furniture, a television or other items for the lodger’s room, these remain your belongings. Make sure the amount of contents cover you arrange adequately reflects the items you own throughout the property.
The government’s Rent a Room Scheme allows eligible resident landlords to receive up to £7,500 a year tax-free from letting furnished accommodation in their main home.
If the income is shared with another person, the threshold is reduced to £3,750 each.
The exemption is automatic where eligible receipts are below the relevant threshold. If they are above it, you may need to complete a tax return and decide how the income is treated for tax purposes.
The Rent a Room Scheme is a tax arrangement only. It does not provide home insurance or remove the need to tell your insurer about a lodger.
It also does not override any requirements imposed by your mortgage, lease or other agreements relating to the property.
Insurance is only one consideration when another person starts living in your home.
If your property is mortgaged, check whether your lender needs to be told or give consent. If the property is leasehold, review the lease and obtain any permission required.
If you currently receive the 25% single person Council Tax discount, taking in an adult lodger may affect your entitlement.
There are exceptions — for example, some people are disregarded for Council Tax purposes — so check with your local council if you are unsure.
Resident landlords have responsibilities for keeping accommodation safe and in good repair.
Depending on where you live and the circumstances of the letting, requirements can include gas, electrical and fire safety obligations. Check the current guidance that applies in your part of the UK and to your particular property.
A written agreement can help both parties understand how the arrangement will work.
It might cover:
The exact legal status of a lodger can depend on the arrangement, so seek appropriate legal advice if you are unsure about your or your lodger’s rights.
Taking in several unrelated lodgers can introduce additional housing and insurance considerations.
In England and Wales, a property is broadly considered a House in Multiple Occupation (HMO) where it is rented to at least three people who are not from one household and they share facilities such as a kitchen or bathroom.
A large HMO generally involves five or more occupants from more than one household who share facilities. These properties require a licence in England and Wales, while councils can also require licensing for some smaller HMOs.
Rules and licensing arrangements differ across the UK, so check with your local authority before taking in several lodgers.
Multiple lodgers can also change how an insurer assesses the property. Tell your insurer exactly how many people will live there and how the accommodation is arranged.
Yes. You should tell your insurer if you take in a lodger because it changes who is living at the property and may affect the information on which your policy is based.
Your insurer can confirm whether it can continue to offer cover and whether the premium, terms or exclusions need to change.
It can. Insurers take occupancy into account when assessing risk, so taking in a lodger may affect the price or terms offered.
The impact will depend on the insurer and your individual circumstances, so there is no standard increase that applies to every household.
Not necessarily. If you continue living in the property, home insurance that accommodates lodgers may be suitable rather than conventional landlord insurance.
The appropriate cover depends on how the property is occupied and the insurer’s criteria. If you are looking for cover, see our Home Insurance with Lodgers page.
Your home contents insurance would not normally be intended to insure possessions belonging to your lodger unless this has specifically been agreed with the insurer.
A lodger who wants to protect their belongings may therefore need their own contents insurance.
It depends on the policy and what happened. Accidental damage, malicious damage and theft can each be subject to different terms and exclusions.
Some policies, for example, restrict theft cover where there is no forced or violent entry or where the person involved was allowed into the home. Check your policy wording and schedule to understand the cover you have.
This depends on the insurer and the policy. Insurers can have different occupancy criteria, so tell them how many lodgers you have or plan to take in.
Multiple unrelated occupants can also bring HMO or licensing requirements into consideration, depending on where the property is located and how it is occupied.
Not directly. The Rent a Room Scheme is a tax arrangement and does not provide insurance cover or determine whether your existing home insurance is suitable.
You should still tell your insurer about the lodger and follow any requirements relating to your mortgage, lease or property.
A written agreement might cover the rent, deposit, room being provided, shared areas, house rules, notice arrangements and responsibility for belongings or damage.
The legal status of the arrangement can depend on the circumstances, so consider taking appropriate legal advice if you are unsure about your or your lodger’s rights.
Taking in a lodger can be a useful way to make better use of a spare room and generate additional income, but it also changes how your home is occupied.
Before your lodger moves in, check any requirements under your mortgage or lease, tell your home insurer and make sure you understand any changes to your cover.
If you are looking for a policy that can accommodate a lodger while you continue living at the property, explore our Home Insurance with Lodgers page or request a quote.
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