Money Moral Dilemma: A fire at my house damaged my neighbour's place - should I pay for the repairs?

frances_scotland

I can't believe this is actually a question.  You are legally responsible for anything that happens in your house and the resulting damage to your and any one else's property.  I don't know who told you "legally" - they are wrong.  You don't have house insurance, so you need to pay.  He can take you to court and will win and you would then be liable for his court fees plus interest.

The only way you would NOT be responsible is if this was proven to be arson by a third party.

Get house insurance.  You are irresponsible not to have it,  

I honestly think these questions are made up for click bait.

Oldiekatz

You should defined pay half.It is your fault you haven't got insurance and he probably got a cheaper insurance with a high access.

user1977

frances_scotland said:

You are legally responsible for anything that happens in your house and the resulting damage to your and any one else's property. 

Nonsense. They're only liable if they were negligent. Why are so many people on this thread dishing out inaccurate legal advice?

JayneyM

Hi I am not a solicitor but spent 10 years in insurance practice, before switching 25 years to HR practice and am also a qualified dispute mediator.

Ordinarily, they would claim from their home insurance for the whole repair, except the value of the excess. Then they would need to either: -

1 Instruct their uninsured loss recovery service (if they selected this with their policy) to attempt to recover the their uninsured loss from you;

2 Instruct a solicitor to attempt to recover the uninsured loss from you, pay the legal bill which will be more than likely greater than the £300; or

3 Write to you themselves, seeking to recover the £300.

In all 3 cases: - 

1 liability would have to be proven i.e. establish negligence on your part; and  
2 your insurance company would defend the claim and payout in the event of negligence being proven.

As you have no insurance, then number 2 does not apply. You would have to appoint your own solicitor to defend any claim made against you.

In any event, in a situation where payment is refused the third party (in this case your neighbour), could resort to the small claims court.  At which point you have two options: -

1 appoint someone to represent you; or
2 attend the small claims court and represent yourself.

In my experience, neighbourhood or family disputes never end well. No one wins.  Ultimately being right, only results in being lonely. So, I would much rather work with the third party to find a win-win outcome. Indeed the small claims court, if it ends there, would most likely seek to achieve this.

If this were happened to me, I would tell them I would like a without prejudice conversation with them and agree and time and date.  

At the start of the discussion, I would say that while the house started at mine it could just as easily started and theirs and the situation would be reverse, so I do empathise.  That being said, the fire was not caused by my negligence, and I believe it would be difficult for anyone to prove otherwise. However, I value my relationship with them as my neighbour and therefore I would like them to send me a without prejudice letter containing both our names and addresses and stating that they are seeking to recover an £300 excess for damage caused by a fire that started in my home. Enclosing the letter from their insurance company confirming the amount paid by them excluding the £300 excess as evidence of their uninsured loss.   Telling them that upon receipt I will give it due consideration and respond in writing. 

Then providing it all stacks up, I would then write a without prejudice letter making an offer, stating that while liability is not accepted, as a gesture of good will I am willing to offer (amount e.g. half) in full and final settlement. They have 7 days to accept the offer then it will be withdrawn. If they wish to accept it, they must write a letter containing both names and addresses accepting the offer in full and final settlement. 

Upon receipt of this I would ask for their bank details and make a bank transfer, and confirm in a final letter containing both names and addresses that this has been done in full and final settlement. 

Providing all the correspondence was worded correctly and the bank transfer is done, this is evidence that the matter was fully settled and should prevent the third party from being able to pursue any further claims against me.

Then I would not leave it too long before seeing them to talk about the weather, as we brits like to do

skicaz21

Insurance should be mandatory not only to protect yourself, but those who may be affected. 
It may have been an accident but it was from your property therefore you are responsible, and should, out of decency,  pay their excess; why should they be out of pocket because you do not have insurance?

Shell1989

Yes it’s a blessing that the damage to your home was contained, but now, you should get home insurance for yourself so this doesn’t happen again and cost you your home next time. As for the neighbour, if a fire started in their home, and caused £300 of damage to your home as a result, would you ask them to pay it for you? If yes, then you should pay theirs. From the sounds of things, you’re lucky they have insurance, as the excess is £300 - the total cost of damage could be a lot more than that, and if they didn’t have home insurance like you, you could be in a lot of financial trouble right now. 

Grumpsy

Yes, you should pay up (even if by paying your neighbour a few quid a month). Had you taken out your own household insurance, your neighbour's insurer may well have asked your insurer for the £300: as you've taken a chance by not having such insurance (perhaps for more than one year?) you should pay up from the saving you've made by not having insurance. You're very lucky indeed that the accidental fire did not cost you your house and home, and demonstrates that household insurance is an essential rather than a nice-to-have. I really don't understand how any intelligent person would take the risk of not insuring their house and home.  

tillhetwo

I think it's the right thing to do is pay the £300 accident or not it's unfair for them to be out of pocket , and just think long term you have to live next door surly it's much better to be on good terms with everyone. 
If it had been a much bigger fire then just let the insurance sort it .
But remember everyone should have insurance to cover there neighbour from your accidents only right really. 

drcarrera

You should pay them their £300 excess plus another £300 for being selfish and irresponsible in not having insurance on what is apparently an attached house.

Frugalfan59

100% you should pay. You should also take out buildings and contents insurance unless you're so wealthy that you can afford to pay for the rebuilding of your own and any neighbouring properties. Be responsible!