Flat Insurance

Fastcars99

If a freeholder of a block of flats did not insure the building, but allowed each leaseholder to take out their own building insurance would their insurance be valid in the event of a claim?

DullGreyGuy

Fastcars99 said:

If a freeholder of a block of flats did not insure the building, but allowed each leaseholder to take out their own building insurance would their insurance be valid in the event of a claim?

What does the lease state about insurance?

In scotland, where leasehold doesn't exist, it used to be common for flats to buy their own buildings insurance but this naturally comes with risks and issues. Who is covering the communal parts of the building? Who has to pay for repairs to the roof or foundations? What happens if the flat bellow you has a major fire but finds out their insurance is invalid because they forgot to declare an unspent conviction for fraud?

it is normally prudent to get a contingent insurance cover too that will deal with the risk of someone else in the block not having appropriate cover. 

If everyone wants to move to individual insurance, which I wouldn't ever recommend, then you'd need to get the leases updated to reflect the fact, which may have impact on ground rent. With the lease still stating that it's the Freeholder's obligation insurers may question if you have an insurable interest or at least try and get their outlay back from the freeholder.