Notifying Lease People Of Insurance

crazygeordiegirl

Hi, firstly sorry if this is in the wrong place!

Our flat is leasehold and I made a call to tell the company that we had changed our home insurers. They said for them to waiver this I had to send in a cheque of £34.50, this is ridiculous! Is there any way I can get around paying this? What will happen if I dont tell them?

Thanks in advance.

macman

Are you referring to your buildings insurance?
If so it would depend on your lease. Does it require you to take your building insurance through them?
But it's a big con, because they will be receiving a fat commission to use their named insurer, and that cost is passed on to you.

ic

Normally within a block of flats the management company would organise buildings cover for everyone, and share this cost among the flats, or by including it as part of the monthly service charge. So you're arranging buildings cover for yourself? What does it cover?

crazygeordiegirl

We live in a self contained flat, ok, that does not sound right, we live in a flat that has its own front door leading onto the street - not in a block or anything, the management company do not require us to take insurance out through them however say they need to know who our insurers are and when we tell them we have to pay £34.50 for them to 'let' us insure it through the company!
When I called today they didn't even really know who I was currently insured with and tried to tell me I was insured through some random company, when I know for a fact I had told them previously and paid the extortionate fee once!

I just find it ridiculous that I have to pay them to tell them who my insurance is paid to!!

macman

Can you confirm that this is for your buildings insurance? If so the leaseholder will want to see evidence that the building is insured, for obvious reasons, if they are not insuring it on your behalf. However the insurers usually offer a big discount to the mgt company, which is not passed on to the leaseholders. That's why they want you to use their insurers. I'll bet yours are charging far less.
If this is in your leasehold agreement, then yes you have to pay it (though it's a total rip off). If it's not, then tell them where to shove their fee.
It sounds to me like they're making it up as they go along. Get together with the other leaseholders and agree your tactics.

crazygeordiegirl

macman wrote: »

Can you confirm that this is for your buildings insurance? If so the leaseholder will want to see evidence that the building is insured, for obvious reasons, if they are not insuring it on your behalf. However the insurers usually offer a big discount to the mgt company, which is not passed on to the leaseholders. That's why they want you to use their insurers. I'll bet yours are charging far less.
If this is in your leasehold agreement, then yes you have to pay it (though it's a total rip off). If it's not, then tell them where to shove their fee.
It sounds to me like they're making it up as they go along. Get together with the other leaseholders and agree your tactics.

Sorry, Yes it the buildings insurance. I understand they need to know its insured, but charging me £34.50 to tell them is ironic!

I am going to try and find my lease agreement and see what it says, I have never been offered to take insurance through them so they cannot come with that one!