Landlord insurance on leasehold property

ognum

I have managed to avoid until now letting flats in leasehold blocks so would appreciate some advice please.

This flat is in a mansion type block of approx 24, 2 buildings each with 2 entrances each serving 6 flats.

There is a twice yearly service charge and this includes the insurance of the building. The flats are managed in house by a committee of residents.

I am letting the flat unfurnished but it does have white goods and carpets but that is all.

What type of insurance do I need, and how would I get just a minimal contents (so small do I need it) and public liability. I have no mortgage.

Thanks for your help.

propertyman

First of all you need to see the building insurance policy to see what it covers, and any exclusions or limitations it has particularly if the property is rented.

You may have to pay a small fee for copying and postage, but if the Comm refuse you make a formal application under section 30A of the landlord and tenant Act 1985 wherein they must provide you with it.

Second your landlords policy might extend and include coverage for contents and repair matters, alternative accommodation, loss of rent, accidental damage as well as malicious damage by the occupier to the flat or to the common areas. A typical problem is excess on leaks where they can easily be £1000 in flats.

Finally Permission To Let.. You must check your lease to see if consent or notification is required.

Consent cannot be given the night before! So look at it now and take the reuired steps to allwo the resplendent to ahve a reasonable to time to respond eg 3-5 days at least, excl weekends.

Do check your lease to make sure if it has any specific requirements that your tenancy might be inconsistent with eg no noise after 11 is sometimes earlier or later in older leases, or restrictions on items on balconies etc.

ognum

Propertman thanks for your comprehensive reply.

Donyou have any suggestions of companies that cover these particular things without the need for buildings cover which I have checked is not needed.

Many thanks again.

Alias_Omega

Get yourself over to the landlord zone forum, take a look at some of the insurance companies.

Even post up your question there, and an insurance company may get back to you. It does not mean you go with them, just gives you a base line.

AO

G_M

You may need consent to let from the management committee as a condition of your lease. So as advised, check the lease. Without this, the buildings policy could decline a claim!

Then as advised check the buildings policy. Again, does it cover let properties, and if so to what extent? Some include basic minimal contents (carpets, white goods only) some don't. So you may/may not need contents cover.

If you get consent to let as rqd by the lease, but the insurance does not cover lettings, it gets messy. You could get stand alone landlords buildings cover for your flat, but claims then become very messy - imagine the block burns down, the 2 insurers squabble over who pays how much of the rebuild cost. Then imagine it was the tenant that started the fire, so block insurer starts a claim against your flat insurer (or the tenants)....... 2 years later the court decides... well, doesn't really matter what they decide, the point is nothing has happened for 2 years!

ognum

G_M wrote: »

You may need consent to let from the management committee as a condition of your lease. So as advised, check the lease. Without this, the buildings policy could decline a claim!

Then as advised check the buildings policy. Again, does it cover let properties, and if so to what extent? Some include basic minimal contents (carpets, white goods only) some don't. So you may/may not need contents cover.

If you get consent to let as rqd by the lease, but the insurance does not cover lettings, it gets messy. You could get stand alone landlords buildings cover for your flat, but claims then become very messy - imagine the block burns down, the 2 insurers squabble over who pays how much of the rebuild cost. Then imagine it was the tenant that started the fire, so block insurer starts a claim against your flat insurer (or the tenants)....... 2 years later the court decides... well, doesn't really matter what they decide, the point is nothing has happened for 2 years!

Thanks GM now this just confirms why I never do flats!!!!