Leak in leasehold flat - buildings insurance won't pay

eddddy

Water pipes in flats and houses sometimes start to leak. Typically, the homeowner has to pay to have the leak repaired. That's just a fact of home ownership.


But... some Buildings Insurance Policies have specific cover for tracing and accessing a leak. Unfortunately, it doesn't sound like your freeholder's buildings insurance policy has that cover. (But you should read the policy to check.)


I suppose you could try arguing that your freeholder was unreasonable/negligent to choose a buildings insurance policy without "trace and access" cover - but that's likely to result in a very expensive legal case.


Realistically, you'll probably end up having to pay for tracing, accessing and repairing the leak.

Blibble

Tl;dr -

Your stuff - you pay for it
Fellow leaseholder's stuff - fellow leaseholder pays for it.

The only caveat to the above is whether the terms of your lease hold somebody else liable, or whether there is cover in place for kitchen pipes & ripping out the kitchen, which it doesn't sound like unless there's trace and access cover. I would request a copy of the buildings' policy booklet though, or if you can find out who the management company's insurer is we may be able to scour through it online for you.

snowflake63

Whatever the management company says about your rights and responsibilties as regards the pipework and the insurance cover, they are wrong. I am in a very similar situation as the OP, and the block management company are telling me the same thing: my pipework=my responsibility=no insurance cover.

However, I have the following information from a very experienced expert in this field, from a website I can't post the link to. Google leaseholdknowledge dot com and you should find it . He says this:

"It is common under many leases for the tenant to retain responsibility for maintaining the pipework that exclusively serves their flat. However, that does not exclude such pipework from being part of the buildings insurance provided by the landlord and paid for by the tenants."

Management companies and other interested parties have other reasons why they may wish to prevent a claim being made by a leaseholder on the buildings insurance - pls see the article on the same website under the Fighting Back tab, Insurance Racket

Hienyy

I was wondering if you've managed to find a resolution to this problem? What happened in the end?
My apartment has a leak into downstairs apartment and we've paid numerous people to come to find the leak. No one could find it. We even had a leak detection company come in and couldn't accurately locate it.

The freeholder who is also the maintenance company says we Changed the bathroom without consent so insurance will not cover it. Since when did you need consent to renovate your house? The apartment downstairs wants to make a claim Against us but we've tried everything we can, we had some work done 2 weeks ago but it didn't help, any advice would be appreciated

Thank you!

eddddy

Hienyy wrote: »

Since when did you need consent to renovate your house?

You mention a freeholder, so I guess you own the leasehold of an apartment (or house?).

If so, your lease will say whether you need consent from your freeholder to replace the bathroom.

In general, you would only be liable for damage to the flat downstairs if you were negligent.


However, if you really have failed to do what your lease requires (i.e. failing to get consent from the freeholder to change the bathroom), and as a result you really have invalidated the insurance, then you might have some liability.

Ask the freeholder for a copy of the buildings insurance policy, and ask them which term in the policy has been broken, causing the insurance to be invalidated.

Andrew_Davies

Hi,

The leak will be covered by a policy in place, normally an 'all risks' policy in blocks.

This may cover Trace and Access to locate and get to the leak.

However...

The cost of the repair once located is yours to pay (as it is maintenance). This is a common problem with managing agents acting up and causing issues for the residents...the tail wagging the dog!

Sally_A

As Flamecloud and Andrew both suggest - as I expect you contribute to the cost of buildings insurance, you are entitled to benefit from it. Trace and Access is a relatively (20 years?) new addition to the cover on decent Flats Policies.
If the Management Co have arranged the cheapest policy going, then they are negligent in looking after the best interests of the flat owners, and I'd have a pop at them.
Get your hands on a copy of the policy and schedule (this is your right if you pay towards the buildings insurance).
Your contents insurance may also have a legal helpline/legal expenses cover to give you advice on your situation and options.
Maintenance is likely to be your responsibility, but subsequent damage not necessarily so.