London property - ins denied

daveyharding · 21 August 2017 at 9:20PM

Advice on house insurance pls...

We're trying to get insurance (buildings and contents) on a house we're buying - a Victorian property in south London. The structural survey found a small external crack but suggested the remedial work would cost under £2k and the guy suggested it wasn't very serious a problem. However we just tried to get house insurance with Aviva, were asked to provide the structural survey, and they replied saying they wouldn't offer insurance. We're trying some other insurance firms but wondered if anyone had advice on what we should do, or who might offer insurance on such properties? Sure we'll be ok but we hadn't expected this and it made us pretty worried. We've exchanged but don't complete until the end of the month so have 10days or so to sort this.
Thanks for any advice!

PField · 21 August 2017 at 9:45PM

I have never before been asked to provide a structural survey before insurance. What did you tell them? You need to insure the property from the date of exchange. Suggest Directline, do it all online. Get the crack fixed as soon as you move in,

daveyharding · 21 August 2017 at 9:54PM

Thanks for the reply.

We noted there was a crack in the online survey. Then we had to call before we could buy the policy. They asked about it and asked us to forward the structural survey before they would provide a revised quote - but came back saying having looked they wouldn't insure the property.

Will try direct line and we plan to get the work sorted asap.

Thanks

G_M · 21 August 2017 at 10:06PM

Depending on the version of contract you've used, it is likely you should be insuring from Exchange.

If the property burns down tomorrow, you could end up paying £x00,000 for a pile of ash.....

If you get really stuck, ask the sellers who they insure with and get the insurance transferred.

We noted there was a crack in the online survey.

What on earth is an online survey?

What are the exact words used in the survey? Does it mention 'subsidence'? Or 'movement'?

If not, just use a comparison site and answer 'no' to te subsidence question. You'll get 20 odd policy quotes.

I've not come across an insurance application that asks about 'cracks'.

daveyharding · 21 August 2017 at 10:37PM

Thanks for the reply, and sorry not to be clearer. By online survey, we filled in an online tool on money supermarket and there was one question asking if there are any external cracks; and one asking about subsidence. I said yes to the former and no to the latter. There were other quotes but I tried aviva as I've used it before for contents.

I've got a direct line quote now, but worried we'll be paying but not covered if we don't declare the crack. Should we just go ahead?

Thanks so much for the advice.

macman · 21 August 2017 at 11:21PM

See post 4. How on earth did your conveyancer allow you to exchange without having buildings insurance in place?

PField · 21 August 2017 at 11:21PM

Is your survey is correct he crack is not structural. Just get it fixed as soon as possible so there is no crack of you ever get asked again. I insured with Directline and I am pretty sure they didn't ask about cracks, just if I was aware of any subsidence.

G_M · 22 August 2017 at 12:02AM

If moneysupermarket asked about 'cracks', try one of the other comparison sites. I'm sure they don't all.

As for \direct line, as long as you've answered all their Qs accurately you'll be fine.

shortcrust · 22 August 2017 at 12:38AM

The questions that insurers ask for buildings insurance aren't as standard as car insurance so comparison sites can throw up some strange results. I think I ticked that there had been subsidence in the past and only got expensive results for niche insurers. I applied to Lloyds direct and the question was something like 'has there subsidence or structural movement which hasn't been repaired' to which the answer was 'no'. The result was insurance which was a quarter of the price of the comparisons sites. For what it's worth I don't think they asked about cracks.

BrassicWoman · 22 August 2017 at 6:51AM

I think you are now stuffed due to the standard question "have you ever had insurance declined", because you have. I would be going via a broker as you need a specialist.

PField · 22 August 2017 at 9:36AM

I am pretty sure "Have you ever had insurance declined' is if your house burned down 1 too many times and you claimed on insurance and the insurance company says we are not going to insure you anymore after your insurance runs out. Not because a particular insurance company does not insure certain properties like flats above a chippy or a house with a cosmetic crack.