The victim’s young age and injuries are major factors in how much the compensation payout could reach.
The result could be that Total Landlord Insurance may have to pay millions of pounds to cover care costs and loss of earnings over years to come.
The claim stated that the steps were not “fit for purpose” and was lodged against the landlord’s public liability cover.
A spokesman for the landlord insurer said that £1.7 million has been paid out for public liability claims in the past two years. They relate to slips, trips, falls and other accidents in buy-to-let properties and houses in multiple occupation (HMOs).
“If the landlord is found responsible and, although the accident was often unavoidable, without insurance protection such incidents can prove extremely costly” said the spokesman.
Public liability cover is usually included in landlord insurance policies. The policy covers legal costs and compensation if a case is lost.
Uninsured landlords can face huge financial difficulties and even the loss of their homes if they lose a claim.
Eddie Hooker, chief executive of Total Landlord Insurance, said the case is a reminder to landlords of the need for the right level of cover.
“Without insurance, this landlord would have been responsible for all costs associated with this incident,” said Hooker.
“Not only could he have risked losing his buy-to-let investment, but his own home too in order to cover the costs in defending his case.”
This case, although extreme, should be an eye-opener to any landlord who has cut corners when it comes to maintaining and insuring their property, Mr Hooker added.
Landlords with buy-to-let properties do not have to take out the cover, but if they do, they must have specialist insurance as a regular home policy will not pay out for claims.
