Proof of Home Insurance

HMSBadger

Hi everyone, my partner and I are buying a new build property and our completion date is Friday the 18th December. We have arranged our buildings and contents insurance through halifax (who are also doing our mortgage). Our solicitors want proof of the insurance before we exchange but we haven't gotten any paperwork through the post, we only have a confirmation email with the policy number on. Will that be ok for the proof? Or do we need a certificate as in car insurance? Panicking a bit as it says it can take 7-10 days for the documents to arrive and we dont have a lot of time to play with.

eddddy

If your solicitor wants proof, it will be to pass it on to your mortgage lender. Since your insurer and lender are both Halifax, I doubt this would cause an issue.

I would suggest that you send your solicitor a copy of the email, and your solicitor will pass the details to Halifax, and they can check the policy for themselves.

HMSBadger

Yeah, I sent the email over this afternoon but I havent heard back from our solicitors yet. As you say, with the mortgage and insurance both being through Halifax then hopefully there wont be an issue, I was just worried that they might need the full policy documents before we complete.

Dird

Is there not an option to download a PDF of the policy?

G_M

No one insures before Exchange.

But most lenders require their solicitor to ensure that the property is insured from Exchange.

In most cases a solicitor will be satisfied by evidence that the buyer has planned to insure (ie a quote with a relevant start date) supported by a copy of the policy document (to ensure the policy is appropriate).

As soon as Exchange takes place, the buyer calls the insurer (or goes online) and activates the policy.

The insurance schedule follows later.

Dird

G_M wrote: »

No one insures before Exchange.

My solicitor insisted I needed it ready for exchange as I'd be liable from that point. Although I don't see why I'd be liable before exchange as the vendor still owns at that point & presumably lives there.

G_M

No one insures before Exchange.

Dird wrote: »

My solicitor insisted I needed it ready for exchange as I'd be liable from that point. Although I don't see why I'd be liable before exchange as the vendor still owns at that point & presumably lives there.

Errrr.... isn't that exactly what I said?

You don't insure before exchange.
lenders require their solicitor to ensure that the property is insured from Exchange.
So you have your insurance (quote) ready for exchange.

And no of course you're not liable before exchange which is why.....(surprise!) I said "No one insures before Exchange."

ps - makes no diference if the owner does or does not live here.

Dird

G_M wrote: »

...

I meant to say I don't see why people should have to insure prior to completion as the current owner presumably already has insurance on it and at exchange it's still their house.

From exchange = if your solicitor emails you 1 hour after exchange & you're waiting in a phone queue for 30 minutes to buy the insurance then you're not insured from exchange

danslenoir

We had to do this last week.

I phoned up and purchased insurance a couple of days prior to exchange, with the policy start date being the day of exchange. Within a few minutes of purchasing I had copies off all the paperwork sent through by email. Make sure whatever you send has the amount the policy covers on it.

macman

Dird wrote: »

I meant to say I don't see why people should have to insure prior to completion as the current owner presumably already has insurance on it and at exchange it's still their house.

From exchange = if your solicitor emails you 1 hour after exchange & you're waiting in a phone queue for 30 minutes to buy the insurance then you're not insured from exchange

Following exchange you effectively are committed to complete and the ownership has passed, but without the right to occupy until completion. The buyer must insure from this point, as if not and the property were to burn down or incur damage, then the completion must still go through on the original contract terms-even if you were buying a burnt out shell.
A policy number should be sufficient evidence that insurance has been taken out.

danslenoir

macman wrote: »

A policy number should be sufficient evidence that insurance has been taken out.

I sent my solicitor a copy of the cover letter sent by the insurance company outlining that buildings insurance had been taken out by me for the purchase property commencing on X date.

The solicitor said this was insufficient as she needed to document the amount the policy would cover.