Am I being ripped off?

tom0407

Hi,

I'm the proud leaseholder of a lovely 1 bed flat in Bristol, however I'm worried that I'm being ripped off by my property management company, who want to charge me £250/year just for buildings insurance. Does this sound about right? It seems an awful lot to me... Just looking for opinions about what's normal really.

Thanks,
Tom

ayuthayajim

Seems like a rip-off to me. Why don't you get a quote from the comparison websites and present it to your landlord? That way there's no arguments from him

sjane2008

Let property insurance is always a little bit more due to the risk. However there are some new providers out there ie Highway etc who should be competitive. Try shopping around and as above present it to the l/l. Also ask for a copy of the schedule, so you do the quotes on a like for like basis and then you can also check they are not taking more money off you than required...

lisyloo

To be honest, I don't know that there is much you can do even if it is high.
It might be that your landlord prefers superior cover, or it might be simply that they cannot be bothered to shop either.
Either way I don't think you have right to insist they change it.

It's doesn't sound outrageously high to me.
Perhaps a little, but the landlord could argue that they want superior cover, so it's withn the realms of decent cover.

You can of course try to negotiate, but ultimately I don't think you can insist on anything (unless you are allowed to start up your own company and everyone agrees).
This can be hard work and require the co-operation of everyone even if it is permitted.

dunstonh

Seems like a rip-off to me.

Why does that sound like a rip off?

We dont know the area and it doesnt sound out of place for many parts of the UK.

_Andy_

tom0407 wrote: »

Hi,

It seems an awful lot to me...

On what grounds do you think that?

cogito

If it's one of a number of flats in a block which I suspect it is, it won't be possible to get an alternative quote.

The management company will have absolute discretion over choice of insurers and under no obligation to insure with the cheapest. Nevertheless £250 sounds a lot of money and I'd ask for a copy of the policy as a way of establishing the truth.

tom0407

Hi,

Thanks for all the feedback.

As someone above said, it is a block of 4 flats, and the management company is particularly difficult to deal with (I have never dealt with such a bunch of apparent scoundrels to be honest), so I don't think they will change the policy.

The reason I think it is particularly high is because our previous landlord / management company were charging the previous leaseholder of my flat just £150 / year. Then this new company took over and the charge almost doubled. So I'm sure they are making something out of the deal, and more than they should.

I think I will have to just pay unfortunately, it's very frustrating being held to random like this with no option but to pay, and I would warn anyone looking to buy a leasehold property to give serious consideration to the who the management company is before making the purchase, as you're really at their mercy.

I've tried calling Citizens Advice about this, but as always it's impossible to get through.

Thanks again,
Tom