BUILDING INSURANCE

Martok

Who is responsible for the building insurance, the landlord or the tenant?

 My granddaughter is moving into her first property and is looking to me for advice on the financial side of things, utilities, insurance etc.

 Never having been a tenant myself I have always been responsible for my own buildings insurance so I have never had to think about this question.

 Having done a little research I have told her to get contents insurance only and that the landlord or their agent is responsible for the buildings insurance.

 Have I given her the right  advice?

theartfullodger

AFAIK there is no legal requirement for anyone to insure (unlike with cars).  But an owner would be either very big (self-insured) or mad not to.  

Mortgage conditions may require owner (who may not be landlord) to have insurance (but variable requirements of what).

A landlord may tell a tenant they have to have contents cover but IMHO they don't gave to (but realise they are taking a risk).

Further what is covered can be very variable (facilities breakdown, rent insurance, public liability etc etc).  

Plus with flats usually freeholder usually carries building insurance not landlord/leaseholders.

Tenant has right to choose electricity and gas supplier and meter type.

Many landlords and agents are amazingly ignorant of what they should do.

To be a landlord or agent in England requires no quay, no training, no criminal records check   Bonkers!  Come on England, wake up!

Great guidance for tenants on CaB and Shelter's websites.

BobT36

Yes. Tenants only (optionally) get Contents insurance. Insurance companies don't even give you the choice for Buildings, when you select that you're a tenant. 

propertyrental

If there's no insurance and the house burns down, who would have to pay to re-build it? Who would have suffered the loss?

Not the tenant, who could walk away (unless they had caused the fire and got charged with arson!).

If the tenant's clothes/possessions were lost in the fire, who would suffer the loss?

Not the landlord.....

As for utilities., it's the tenant who 'consumes' the water, gas, eectricity so in most cases they set up accounts and pay for what they use.

Likewise (usually) council tax as they are the occupant, 'consuming' the rubbish collection, local school if they have kids, maintenance of the road outside etc.

This (council tax) does not apply in a 'House of Multiple Occupation' (google it) where the LL is always liable (but may pass on the cost

DullGreyGuy

Martok said:

Who is responsible for the building insurance, the landlord or the tenant?

 My granddaughter is moving into her first property and is looking to me for advice on the financial side of things, utilities, insurance etc.

 Never having been a tenant myself I have always been responsible for my own buildings insurance so I have never had to think about this question.

 Having done a little research I have told her to get contents insurance only and that the landlord or their agent is responsible for the buildings insurance.

 Have I given her the right  advice?

Read the contract

For houses it would normally be the landlord, for flats it is normally neither the landlord nor the tenant but the freeholder. Contracts ultimately determine who have to buy the insurance and creates the insurable interest if you aren't the legal owner. There is no legal requirement to have Buildings insurance however there can be contractual requirements such as a mortgage, lease or tenancy agreement.

propertyrental

DullGreyGuy said:

Martok said:

Who is responsible for the building insurance, the landlord or the tenant?

 My granddaughter is moving into her first property and is looking to me for advice on the financial side of things, utilities, insurance etc.

 Never having been a tenant myself I have always been responsible for my own buildings insurance so I have never had to think about this question.

 Having done a little research I have told her to get contents insurance only and that the landlord or their agent is responsible for the buildings insurance.

 Have I given her the right  advice?

Read the contract

For houses it would normally be the landlord, for flats it is normally neither the landlord nor the tenant but the freeholder. Contracts ultimately determine who have to buy the insurance and creates the insurable interest if you aren't the legal owner. There is no legal requirement to have Buildings insurance however there can be contractual requirements such as a mortgage, lease or tenancy agreement.

If by contract you mean tenancy agreement, of course a prospective tenant should always read this carefully.

But not in relation to buildings insurance. If the TA does have a clause making the tenant responsible for the buildings insurance, it can (and should) be ignored.

DullGreyGuy

propertyrental said:
But not in relation to buildings insurance. If the TA does have a clause making the tenant responsible for the buildings insurance, it can (and should) be ignored.

Universally without exception?
Willing to put your wallet on the line to that?
Would have one taker if you say yes

propertyrental

DullGreyGuy said:

propertyrental said:
But not in relation to buildings insurance. If the TA does have a clause making the tenant responsible for the buildings insurance, it can (and should) be ignored.

Universally without exception?
Willing to put your wallet on the line to that?
Would have one taker if you say yes

Assuming we are talking about an AST, yes.

Commercial tenancies are very different.