House and contents insurance - deceased person

adonis10

Quick query.

Person a has passed away, leaving all assets to person b (daughter). Person a's house and contents insurance is due on 20th December, but the transfer of ownership (if that's what it's called) probably won't be complete by then. Obviously can't be taken out in person a's name so should it just be taken out in person b's name?

Just checking as we all know that insurance companies will get out of paying if possible!

adonis10

Selden wrote: »

Was Person A the sole owner of the house and contents?

If so, on death responsibility for the property passes to Person A's personal representatives - that is the executors if a will was made or otherwise the administrators of the estate.

So ideally the name on the policy should be switched now to, say, "the Executors of Person A, deceased" and then switched again to "Person B" when the property is transferred. Of course Person B may be an executor, but for that purpose will be acting in a different capacity.

The best thing is for the personal representatives to explain the situation to the insurer and see what it advises to achieve cover without any break. Bear in mind, though, that whilst the insurer was quite happy to insure Person A, there is no guarantee it will insure the Executors of Person A or Person B - underwriting will be based on the characteristics of the insured as well as those of the property. And watch out for limitations on cover if the house is unoccupied...

Thanks.

Yes, person B is named as the executor in the will and will be dealing with all the admin/finances. It's probably best for them to call the current insurer and see what they say. Although they'll probably not be allowed to talk to person b due to data protection!

foggytown

You also need to tell the insurer whether there will be any change of occupancy of the house. Will it now be unoccupied until sold?

adonis10

foggytown wrote: »

You also need to tell the insurer whether there will be any change of occupancy of the house. Will it now be unoccupied until sold?

Yes, it will be. Unoccupied but there will be someone there fairly regularly renovating it. However, they won't be living there.

Insurance has been taken out in person a's name. Probate etc. is still going through, but not complete.

Just wondering what to do because I'm aware that council tax isn't due if it's unoccupied. Would this be refunded back to the date of death?

adonis10

bump .

huckster

adonis10 wrote: »

Yes, it will be. Unoccupied but there will be someone there fairly regularly renovating it. However, they won't be living there.

Insurance has been taken out in person a's name. Probate etc. is still going through, but not complete.

Just wondering what to do because I'm aware that council tax isn't due if it's unoccupied. Would this be refunded back to the date of death?

Think councils will only remove council tax liability from the date of notification and not backdate to date of death. If you give them a call, see if they will backdate of death certificate sent to them.

adonis10

huckster wrote: »

Think councils will only remove council tax liability from the date of notification and not backdate to date of death. If you give them a call, see if they will backdate of death certificate sent to them.

The death was registered at the council office, but I guess that this is a different department and as such makes no odds to the council tax?

adonis10

Also, is it best to change the name on the new buildings insurance to 'executor of the estate of xxx' until probate has been granted and everything is sorted? Just wondering if one conflicts the other.

huckster

Would think that you would need grant of probate to confirm that executors can legally deal with matters. If you change to executors without the probate, not sure that would be sensible.

adonis10

huckster wrote: »

Would think that you would need grant of probate to confirm that executors can legally deal with matters. If you change to executors without the probate, not sure that would be sensible.

Ah ok, thanks. The reason I asked was because the policy expired a couple of weeks after the death, therefore it had to be re-insured and we were unsure whose name it should be in.

Whilst probate is being sorted out, it appears that there is a grey area re insurance. Surely the deceased's name can't be on the policy, nor can the executor's (who is also beneficiary of the estate), so whose can? The house needs to be insured somehow and I've no doubt that an insurance company would use any loophole possible in the event that anything happened.

I know it's unlikely but I'm of a paranoid disposition!!

huckster

Normally if there is an existing policy you just leave that running and then change over when the probate is granted.

If arranging a new policy if the grant of probate is not granted yet, the policy should technically be in the deceaseds name. When you arrange the policy you just inform the Insurers of the situation and they will note the executors details on receipt of a copy of the probate.