Selling house and have been asked for an indemnity policy

Random_Stuff

In the process of selling my house and I have received an email from my solictor asking for an [FONT=&quot]indemnity policy, see below. When I bought the house in 2010 the work below had already been done by the previous owners. The surveyor and solictor acting for me did not indicate any issues with the work which had taken place and I have had no issues in the past 7 years. The previous owners left no paperwork or anything when I bought this house.

How much will it cost to get this [/FONT][FONT=&quot]indemnity policy and where from?

An internal wall had been removed to create a through lounge and the small kitchen had been extended too.

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• [FONT=&quot]We also note that internal walls have been removed and the kitchen has been extended. These works have not been revealed on our Local Search. We therefore require a suitable indemnity policy to be put in place upon completion at the Seller’s expense. Please provide us with a draft policy for our approval.[/FONT]

patel007

We have bought and sold several times last 15 years and always paid the small amount rather than worry about it - your choice
ATB

davidmcn

The bit you've quoted is from your buyer's solicitor. It's your solicitor who arranges the indemnity insurance (if you agree to get it).

Random_Stuff

I have no problem with providing it, just didn't know what it entailed as I have never enquired about it before. Roughly how much does it cost if the solicitor arranges it?

Mickygg

Ask your solicitor!

westv

Has anybody ever actually used an indemnity policy they've had?

AnotherJoe

I think this is a solicitor covering their you-know-what not the buyers insisting.

I would tell them to buy one themselves if they are that concerned.
What liability do they think it covers? As long as the extension is within permitted limits there is no liability (i presume the house isn't listed, in which case removing an external wall is an irrelevance also).

jimbog

It'll cost a few hundred pounds maybe. You'll never use it but your buyer is covered if any problems arise in the future.

Before you insist on asking the buyer to pay for it themselves you need to think of how desperate for this sale to go through - and just how much it may be the straw on the proverbial camel's back for your buyer if you don't.. Only you know how things are with this sale.

diamond_dave

My daughter has just gone through this exact same scenario with the house she is buying - and the insurance obtained from the vendors cost about £40.00. I'll bet that almost no-one ever claims on these policies anyway.

davidmcn

AnotherJoe wrote: »

What liability do they think it covers? As long as the extension is within permitted limits there is no liability (i presume the house isn't listed, in which case removing an external wall is an irrelevance also).

The concern will be building regulations, not planning.

AnotherJoe

diamond_dave wrote: »

My daughter has just gone through this exact same scenario with the house she is buying - and the insurance obtained from the vendors cost about £40.00. I'll bet that almost no-one ever claims on these policies anyway.

Thats a given or they wouldnt cost £40