Buildings insurance renewal right before moving

oniongirl

If our chain doesn't fall apart (50/50 right now!), our buildings and contents insurance is up for renewal either very shortly before or shortly after Exchange (assuming that Exchange happens at least one week before our buyer's mortgage offer expires)

What's the best way to deal with this so that I don't end up paying for a year of insurance and then having to pay admin costs to cancel it all again? Has anyone been in this situation?

davidmcn

I would just renew as normal. You'll get a pro rata refund for the period you cancel (less the admin fee) - not sure it's likely to be worthwhile shopping around for something with a higher premium / lower admin fee given the amounts involved.

Alter_ego

If shortly after exchange check buyer has insured it. Then why double up? Before exchange - how lucky do you feel?
Alternatively you probably have 14 days to change your mind.

davidmcn

Alter_ego said:

If shortly after exchange check buyer has insured it. Then why double up?

Because where does that leave you if completion doesn't happen?

Alter_ego

davidmcn said:

Alter_ego said:

If shortly after exchange check buyer has insured it. Then why double up?

Because where does that leave you if completion doesn't happen?

Well, our solicitor assured us that after exchange responsibility for insuring was down to the buyer. But one could always check that.

davidmcn

Alter_ego said:

davidmcn said:

Alter_ego said:

If shortly after exchange check buyer has insured it. Then why double up?

Because where does that leave you if completion doesn't happen?

Well, our solicitor assured us that after exchange responsibility for insuring was down to the buyer. But one could always check that.

The buyer (for their own benefit) has to arrange their own insurance, as you can oblige them under the contract to buy the smouldering wreck. But if they don't actually complete (and you fail to get compensation out of them) then you'd be left still owning the property.

oniongirl

Right - thanks for everyone's advice. I will renew as late as possible and hopefully get my 14 day refund if timed correctly.

Thanks!

greatcrested

Shop around for insurance in the usual way.

But once you have a shortlist of policies, check them

1) for the admin charges for changing address and

2) for the premium for the new address

The cheapest policy at your current address might be hugeky expensive at the new one, so take that into acount when selecting your policy.

It's a bit of a hassle to do but this is a moneysaving site!

Alternatively, just renew and take the hit.

Polly05

I had to do this.. I looked at the insurance quotes and picked the cheapest one and one with cheapest cancellation/admin fee.