Buildings Insurance Bought by Management Company

cheap-information

Hi everyone,

Have been playing with the idea of right to manage with the other residents of my building. It is a purpose-built 7 flat building with 4 floors in London (E1). It was built in 2007. The flats vary in value from around £400k to £850k. The market value of the block at a guess is around £3.8 million.

The management company (who are pretty incompetent at the best of times) buy insurance on behalf of us and we pay them.

I understand that the managing agent will be on a generous commission but was wondering how much we could potentially save?

We are currently £3,982 for buildings insurance and £494 for 'terrorism insurance' which seems somewhat excessive. The "Buildings Sum Insured" is around £1.4 million.

I have tried to get quotes from insurance companies but sadly I don't have the claims from previous years and so they are unable to quote me.

Would anyone else here have any rough estimates of what we should be paying?

dacouch

The price is not that far off the market rate depending on your claims record.

There are almost certainly claims.

Without knowing the block, £1.4m seems on the lowish side for a 4 story block especially if you have a lift etc