FTB - what building insurance should I get

J41721

Hi

It is a 1900 End Terrace property.  What building insurance cover should I get? 

- Do I need subsidence?  
- The home might be unoccupied for a while, don't know how long, before I sorted out my move as I originally thought the house buy will fall apart as chain broken and already signed another fixed 1 year rental

J

Bendy_House

Subsidence is always included, afaIk, but you DO need to declare whether the house has had any historic issues on this. If it has, I guess the premium could be higher, and in any case there's usually a £1k excess on any sub' claim.

Ditto for flooding - it will be asked about.

Other than that, just make sure you enter the info accurately - type of construction, whether it's in a good state of repair, any flat roofs, security, that sort of stuff.

The remaining issue is how long the house will remain empty at a stretch. They usually ask about, I think, periods of more than 30 days? Not sure what the answer is - do you declare this up front and expect to pay a bit more for however long it takes before you move in, or do you flit between your two homes enough to conform? I don't know.

BE SURE TO ADD LEGAL PROTECTION!

eddddy

J41721 said:

What building insurance cover should I get? 

The home might be unoccupied for a while, ...already signed another fixed 1 year rental

Are you saying that the house could be empty for up to a year?  If so, you will need special 'Unoccupied House Insurance'.

You could start by googling 'unoccupied house insurance'.

All standard house insurance will include subsidence cover. Subsidence cover would only be refused if there was some kind of 'problem' with the house or it's history. But if you couldn't get subsidence cover, you probably couldn't get a mortgage. And in that case, it's probably not the type of house an 'average FTB' should buy.

p00hsticks

Bendy_House said:

Other than that, just make sure you enter the info accurately - type of construction, whether it's in a good state of repair, any flat roofs, security, that sort of stuff.

Also make sure that you put in an accurate rebuilding cost - if you;ve had a survey done it may well give a rebuilding cost there. Depending on where you are in the country, the cost of totally rebuilding an end terrace could be lower (because house prices are crazy) or higher (because of the cost of new materials and the need to shore up the nighbouring property etc) than the price you are actually paying for the property.    

youth_leader

Don't go for the cheapest like me.  I did have to claim in my first eight months because of Storm Arwen and the policy was cheap because the company didn't have the resources, they couldn't send anyone to make safe or repair.  

J41721

I have looked up the insuranceeddddy said:

J41721 said:

What building insurance cover should I get? 

The home might be unoccupied for a while, ...already signed another fixed 1 year rental

Are you saying that the house could be empty for up to a year?  If so, you will need special 'Unoccupied House Insurance'.

You could start by googling 'unoccupied house insurance'.

All standard house insurance will include subsidence cover. Subsidence cover would only be refused if there was some kind of 'problem' with the house or it's history. But if you couldn't get subsidence cover, you probably couldn't get a mortgage. And in that case, it's probably not the type of house an 'average FTB' should buy.

I got the keys and look like some renovation (change of single glazed windows, caprets, painting) might be needed, we don't have exact timeframe

I search some unoccupied house insurance and they didn't cover subsidence, I will call the insurance and ask

canaldumidi

Much depends how long it will be empty.

All 'standard' buildings policies will have an 'unoccupied property' clause which will invalidate the policy. Some are over 30 days, some are 45 and some allow up to 60 days unoccupied.

So if that falls within your timeframe, then look for a company that allows up to 60 days unoccupied.

Beyond that, yes, specialist unoccupied property policy eeded.I'm amazed they exclude subsidnce, though they might exclude things like damage from break-ins. Speak to a specialist broker.

eddddy

J41721 said:

I search some unoccupied house insurance and they didn't cover subsidence, I will call the insurance and ask

I've just looked at some random unoccupied house insurance policies - most of them cover subsidence (but I also found a couple that didn't.) For example, these do:

• https://www.completecovergroup.com/wp-content/uploads/2019/02/residential_unoccupied_ipid_axis_level1_2019_05_24V13L.pdf
• https://www.towergate.co.uk/unoccupied-homes-insurance/Documents/PolicyWording.pdf
• https://www.ocaso.co.uk/assets/pdf/policy-wordings/Unoccupied Home (2394-B).pdf
• https://www.bewiser.co.uk/sites/default/files/2020-05/Plum Unoccupied UK Policy Booklet May 2020.pdf
• https://www.classiclineinsurance.co.uk/wp-content/uploads/2011/05/Tansar-Unoccupied.pdf

(These links are just to show that many policies have subsidence cover - they're not any kind of recommendation.)


Out of interest, why did you mention subsidence at the outset? Is there some issue or cause for concern with the property? 

J41721

eddddy said:

J41721 said:

I search some unoccupied house insurance and they didn't cover subsidence, I will call the insurance and ask

I've just looked at some random unoccupied house insurance policies - most of them cover subsidence (but I also found a couple that didn't.) For example, these do:

• https://www.completecovergroup.com/wp-content/uploads/2019/02/residential_unoccupied_ipid_axis_level1_2019_05_24V13L.pdf
• https://www.towergate.co.uk/unoccupied-homes-insurance/Documents/PolicyWording.pdf
• https://www.ocaso.co.uk/assets/pdf/policy-wordings/Unoccupied Home (2394-B).pdf
• https://www.bewiser.co.uk/sites/default/files/2020-05/Plum Unoccupied UK Policy Booklet May 2020.pdf
• https://www.classiclineinsurance.co.uk/wp-content/uploads/2011/05/Tansar-Unoccupied.pdf

(These links are just to show that many policies have subsidence cover - they're not any kind of recommendation.)


Out of interest, why did you mention subsidence at the outset? Is there some issue or cause for concern with the property? 

Thank you Edddy
No, I was quoting on the admiral, homeprotect or other from confused.com and they excluded subsidence etc, but subsidence is required by mortgage I think

I called a broker and they arranged a holiday home insurance cover , as we will stay there from time to time while sorting out our move.  The holiday home cover did have a clause if it is unoccupied over 30 days, the burst water or any water damage won't be covered.  We have some one checking in the property weekly.
The broker said when we do move in, could change it to main residence, or if we need any big renovations, then can call them for a different quote then

I hope this is what we need.   

Sistergold

Why on earth did you sign a new one year tenancy when you knew you where actively looking? Just curious. 

eddddy

J41721 said:

I called a broker and they arranged a holiday home insurance cover , as we will stay there from time to time while sorting out our move.  

Are you in the process of buying this house?

If so, are you buying it with a residential mortgage?

If so, your solicitor might ask to see details of your buildings insurance before exchanging contracts, on behalf of your mortgage lender. If the details / policy say 'holiday home insurance', that probably won't be acceptable to your mortgage lender. It might also make the lender suspicious about whether you've misled them in your mortgage application.


Tbh, if you're buying with a mortgage, the whole scheme is a little bit 'close to the edge'.  The mortgage is intended to be for your primary residence, not for an empty house renovation project.

And some people might suggest that you need to think carefully about what you discuss with your solicitor, as they may have to report any concerns to your mortgage lender.