HELP PLEASE !!! Management Company Buildings Insurance - Edwardian House

Hi everyone, 

I need a bit of help; I'm one of the freeholders (4 of us each with share of freehold) of 4 flats inside a converted Edwardian House. Our normal broker has just come back with this year's renewal and it's absurd at £3175 which is c£800 per flat which seems extortionate. 
 
The property was converted c 20 years ago, but I'm wondering how we (the Management Co - because that's what we are) go about finding alternative quotes:
  • Do we need a specialist broker who deals with these sort of properties and if so are there any recommendations as to whom to speak with? 
  • Is it possible for each property owner/share of freeholder to source their own bldgs insurance?
I'd be so grateful for any guidance in this area as the last few years we've paid £590/600/620 etc and this seems a tad too pricey. The insurance has to be renewed on 26 of August!! Eeek! 

Thank you in advance! :smile:

 

Comments

  • DullGreyGuy
    DullGreyGuy Posts: 10,380 Forumite
    First Post First Anniversary Name Dropper
    Are there common areas?

    Buy your own personal insurance is a recipe for headaches and delays on who owns what and who should contribute to what... eg do the top flats contribute to subsidence and underpinning of foundations?

    The other issue is the consequences if one person decides not to insure... if you live above the uninsured property and they have a major fire that does modest damage to your unit too then your insurers may not be willing to proceed until the structural bit is done in the unit below which the person may not have the funds to do. 

    Have you spoken to your current broker about the price change? Asked them if they rebroked it?
    There are many intermediaries offering Block of Flat insurance, as with all classes of insurance there is no one that universally is cheaper nor better value for everyone else there'd only be 1 or 2 companies. Shop around.
  • Sniblet
    Sniblet Posts: 26 Forumite
    First Post First Anniversary Name Dropper
    Are there common areas?

    Buy your own personal insurance is a recipe for headaches and delays on who owns what and who should contribute to what... eg do the top flats contribute to subsidence and underpinning of foundations?

    The other issue is the consequences if one person decides not to insure... if you live above the uninsured property and they have a major fire that does modest damage to your unit too then your insurers may not be willing to proceed until the structural bit is done in the unit below which the person may not have the funds to do. 

    Have you spoken to your current broker about the price change? Asked them if they rebroked it?
    There are many intermediaries offering Block of Flat insurance, as with all classes of insurance there is no one that universally is cheaper nor better value for everyone else there'd only be 1 or 2 companies. Shop around.
    Yes, there are common parts and what you say makes so much sense @DullGreyGuy, Apologies for sounding a bit dim, but what does "rebroked" mean please? And I've no idea where to shop around as the MSE usual suspects are buildings insurers for individual properties (often sold as a package with contents insurance) so I could really do with some pointers as to where to shop around and would be most grateful for a few sites, perhaps?  
    TIA,

  • CSI_Yorkshire
    CSI_Yorkshire Posts: 1,792 Forumite
    First Post Photogenic Name Dropper
    edited 12 August 2023 at 8:17AM
    Rebroking is when your broker does what you would do on a comparison site.  Search the market for the best quote.  Or has your broker just passed on the renewal price without doing the search again?

    That's why you have a broker for a product like this - to shop around for you.  If they can't find an acceptable price through the insurers they work with, then you might need a different broker.
  • huckster
    huckster Posts: 4,821 Forumite
    First Anniversary Name Dropper First Post
    Contact broker such as Towergate or Home Protect.

    When was the last time you had a survey on the total rebuilding cost for Insurance purposes ?  If it was within 5 years and since index linked in line with RICS should be OK, if no significant changes to building during that time.  Better to over Insure, than have a sum Insured which is not adequate to cover rebuilt costs in the event of total loss.

    Insurance costs have gone up quite a lot in recent times, due to increased cost of claims for Insurers.
    The comments I post are personal opinion. Always refer to official information sources before relying on internet forums. If you have a problem with any organisation, enter into their official complaints process at the earliest opportunity, as sometimes complaints have to be started within a certain time frame.
  • DullGreyGuy
    DullGreyGuy Posts: 10,380 Forumite
    First Post First Anniversary Name Dropper
    Sniblet said:
    what does "rebroked" mean please? And I've no idea where to shop around as the MSE usual suspects are buildings insurers for individual properties (often sold as a package with contents insurance) so I could really do with some pointers as to where to shop around and would be most grateful for a few sites, perhaps?  
    A broker operates a panel of insurers and other intermediaries so when you ask for a quote they given you the best price based on any particular features you want/need.

    At renewal they have two choices, just get a renewal price from your current insurer/intermediary or to go back to the panel and see if the same company is still the best value - this second option is called rebroking and what normally happens but not always. 

    Google Block Insurance, it will show you sellers. Most will be brokers or intermediaries... it a type of commercial insurance and there are few direct commercial insurers out there.
  • Thanks all - I asked that our broker looked around and found a deal that was much less of an uplift so we were much happier. I suspect our broker had become somewhat laisser faire with our business so it was the kick up the butt he needed! :) 
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