Building insurance for leasehold flats

Becky2016

Hi, first ever post here and hoping for good advice!

I own a 3 bed leasehold flat in a block of 8 flats. Our freeholder is missing and we're aware the building insurance (which he previously arranged) has expired. All the leaseholders in the building agree that in his absence we should arrange it ourselves. In this situation, would it be the norm to split the cost equally i.e 8 ways. Or should I pay more (being in a 3 bed flat) than someone in a 1 bed?

Thanks

huckster

What has happened to freeholder ? Surely they have a Solicitor or management company that acts for them. You need to let them know about this and provide Insurance details if you arrange it.

I have a feeling that you might hit a snag, that if the leasehold agreements specifically state that the freeholder is responsible for Buildings Insurance, that some Insurers/brokers might raise questions about whether you can arrange cover.

If you have to arrange a block of flats policy as leaseholders, then get a full note of the owners of each flat. The policy may be registered as Flats 1-8 New Road, Flatville, but i think there is normally one person that is noted as the contact person. The policy is then noted with the details of all leaseholders. I don't deal with block policies and someone who deals might post with more info.

Try to arrange it on the same basis as previous policy, with split in premiums the same as it was before. Because Buildings Insurance covers the roof, all exterior walls, communal areas, all will share in these, even if they are downstairs and don't have roof immediately above their flat. Perhaps to make it easy, it could be split 8 ways, but it would be fairer if number of bedrooms was used.

eddddy

Each leaseholder's lease (including yours) should specify the percentage of the service charge that they are responsible for.

If the freeholder was around, that's how the cost of insurance would be split amongst the leaseholders - so maybe stick with that.