Who decided not to purchase chancel repair liability insurance?

AlexMac

Back to the original Q- 'Who decided not to purchase chancel repair liability insurance?' - I did. Last year. But that was on an ex-local authority BTL worth £150k, which I was in effect buying cash, in an area I know, and where I felt the negligible risk was worthwhile. In fact, I told my solicitor to do the minimum local authority searches and not even ask for a Chancel liability check (which on recent experience waould have cost £15 from a Company who would have said there was a potential liability but who wouldf have been far from dis-intested as they would have then offered me insurance for up to £100!)

In fact, having bought one and sold two properties immediately prior to that purchase, I was fairly cynical about the whole Chancel liability industry; potential threat was said to exist on all three properties, yet I've only ever read of one case (the notorious one which cost someone their house when they fought it).

I must admit, I bit the bullet and grumpily bought insurance on my own home (the most expensive one of the three), but then at least I can see a Church from my windows!

But the sooner the law changes and the Land Registy sorts out this God and Mammon scam the better. Meanwhile I assume clerics are toiling in dusty archives to strip the mark of Cain on as many deeds as possible?

caeler

Interestingly the conveyancer I'm using has a policy that says they don't check for chancel liability, they just opt straight for the insurance to cover it at £54. Their view is the check costs £18 and you'll probably need the insurance anyway. Hmmm.

thelem

PropertyMan has a group policy for his clients that offers insurance for just £20! Personally I decided not to do the search, as I figured that only one property has ever actually had to pay this, and even if I am liable there are plenty of properties in my parish to split it between (although I appreciate not all will necessarily be liable).

Mickygg

I didn't. Rip off insurance.

ijrwe

Hmm, I didn't know some of the solicitor's searches were optional.

Identity Check on your purchase £4.00
Land Registry fee on your purchase £200.00
Pre Completion LR Searches on your purchase £8.00
Search Fees (Local, Enviro, Chancel) on your purchase £250.00


+VAT

never mind. I think I'll skip the CRL insurance if my lender doesn't object.

G_M

ijrwe wrote: »

Hmm, I didn't know some of the solicitor's searches were optional.

Identity Check on your purchase £4.00
Land Registry fee on your purchase £200.00
Pre Completion LR Searches on your purchase £8.00
Search Fees (Local, Enviro, Chancel) on your purchase £250.00


+VAT

never mind. I think I'll skip the CRL insurance if my lender doesn't object.

Just to be precise:

ALL searches are optional. The solicitor may (probobly will) advise his clients to undertake some/all searches for their own protection, but it is up to the client to decide. If the client says "Don't do the search" the solicitor won't do the search.

Of course, as explained above, the mortgage lender is also a client (if there is a mortgage). So even if the buyer says "Don't do the search", the other client (the lender) may say "Do the search" in which case the solicitor must do it/them.

cwcw

We didn't decide to purchase it, it came free with the searches via our solicitor as they have some kind of blanket policy.

I'm not sure how much it usually costs, but really, for the sake of £50 or so is it really worth not getting it? I know it's so unlikely but I'd much rather have the peace of mind.

ijrwe

cwcw wrote: »

We didn't decide to purchase it, it came free with the searches via our solicitor as they have some kind of blanket policy.

I'm not sure how much it usually costs, but really, for the sake of £50 or so is it really worth not getting it? I know it's so unlikely but I'd much rather have the peace of mind.

If insurance was worth it then the insurers would be out of business.

In this case especially, I think there is essentially zero risk and I'd rather keep the £50. If a local church does want to seize everything from me one day then I'll take it is a sign and go and live alone in a forest somewhere awaiting judgement.

Richard_Webster

So, it is possible your lender may tell your solicitor that chancel repair liability insurance is mandatory, or it may not.

Most lenders staff wouldn't know what Chancel Repair Liability was if it stood up and bit them. The reality is that they set down vague instructions in the CML Handbook (the legal stuff solcitors have to check for lenders) that have very little mention of Chancel Liability. What little there is in my view suggests that they do want it covered so my line if a client is getting a mortgage is that if they don't want to pay £10/£15 for the insurance I will have to write to the lender to ask them whether they require it - frankly I wouldn't expect an answer inside a month as they won't understand the letter when they get it! So in most cases the clients would rather pay the £10/£15 than wait around that long.

ijrwe

Richard_Webster wrote: »

Most lenders staff wouldn't know what Chancel Repair Liability was if it stood up and bit them. The reality is that they set down vague instructions in the CML Handbook (the legal stuff solcitors have to check for lenders) that have very little mention of Chancel Liability. What little there is in my view suggests that they do want it covered so my line if a client is getting a mortgage is that if they don't want to pay £10/£15 for the insurance I will have to write to the lender to ask them whether they require it - frankly I wouldn't expect an answer inside a month as they won't understand the letter when they get it! So in most cases the clients would rather pay the £10/£15 than wait around that long.

I just heard this from my solicitor:

"I am afraid that as you are having a mortgage it is compulsory to have the chancel repair liability insurance and we will arrange this for you on completion."

unfortunate. I think they quoted me about £70