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Contents Insurance with Mortgage Lender

Buying a shared ownership house and part of the service charge covers buildings insurance but I need to provide contents insurance.

I received a letter from Leeds BS today asking me to give them details of the insurance and gave me a quote for the contents insurance. With full accidental cover they quoted £25 per month and said they could reduce it to £20 per month with partial accidental cover (i.e. not covering spills on carpets, etc).

This still seems a bit expensive to me. I told the advisor that we're currently insured with L&G and they are £15 per month but he said that he would query what it covers because he believes Leeds to be very competitive.

He also said that if I don't take insurance out with Leeds I would have to pay a £30 admin charge to have the housing associations insurance policy added to the mortgage account.

Anyone know if £20/£25 per month is reasonable? Any thoughts on where to get decent quotes from?

One plus point is that Leeds said their insurance covers mobile phones, etc, so wouldn't need seperate insurance for those.

Comments

  • cattie
    cattie Posts: 8,844 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Have you tried any of the comparison sites for insurance estimates/quotes?

    I own a 3 bed house in a London suburb and pay £31 month for both buildings and contents with accidental cover and a couple of extras such as credit card and money theft.
    The bigger the bargain, the better I feel.

    I should mention that there's only one of me, don't confuse me with others of the same name.
  • ACG
    ACG Posts: 24,954 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    B&C insurance is one of those things you get what you pay for.

    If you go for the cheapest you will probably find you have less cover or no as comprehensive cover - even if it shows that the maximum they will cover you for is the same....you need to look deeper than that.

    Personally i sell an insurance policy which will never win on price...but im confident my clients wont come back to me and complain theyre under insured or it never paid out.
    But thats not always for everyone, sometimes people only have a few things they actually want to be covered for.

    You need to decide whats more important to you.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • gazfocus
    gazfocus Posts: 2,512 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Anyone have any experience with Leeds insurance? I'm not overly fussed about paying more if its worth it but don't want to get ripped off.
  • ACG
    ACG Posts: 24,954 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    Ive not sorry.
    Who is it underwritten by? Chances are it will be done by someone else with Leeds stamp on the front of it.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
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