How much can I expect building insurance premium to go up following a fire claim?

I am buying a leasehold flat in London - part of a development with 100+ flats built less than 10 years ago. A couple of weeks ago, there was a fire that affected 1-2 top-floor flats. Thankfully, no one got hurt and the flat I'm buying hasn't been affected at all.

The development has building insurance, so I expect the repairs (holes in the roof, etc.) will be covered, which is good. But given we haven't exchanged contracts yet, I am trying to figure out what to expect.

Following an insurance claim like this, I would expect the premium to go up the following year(s), but I have no idea how much of a hike to expect. 15%? 50%? 300%? I know it depends on each individual case, but I would appreciate any input from anyone who has a point of view or experience on this matter, as this will have an impact on the service charge I will be paying.

Really appreciate your input, folks! Can't thank you enough.

PS. I would really appreciate it if we could avoid turning this into a leasehold vs. freehold debate.

Comments

  • HampshireH
    HampshireH Posts: 4,859 Forumite
    Seventh Anniversary 1,000 Posts Name Dropper
    edited 25 May at 12:56PM
    Very much a case of how long is a piece of string 

    For example if this is a large freeholder such as a council or HA they will have a large overarching policy for all their stock with a huge excess for rebuild (smaller excess for Leaseholder claims against it). The impact may be less for a one of event.

    If it's a smaller freeholder company or individual freeholder  the policy may be bespoke to the block and the impact higher.

    Of course so many other factors contribute to premiums
  • XRS200
    XRS200 Posts: 211 Forumite
    100 Posts Name Dropper First Anniversary

    I am buying a leasehold flat in London - part of a development with 100+ flats built less than 10 years ago. A couple of weeks ago, there was a fire that affected 1-2 top-floor flats. Thankfully, no one got hurt and the flat I'm buying hasn't been affected at all.

    The development has building insurance, so I expect the repairs (holes in the roof, etc.) will be covered, which is good. But given we haven't exchanged contracts yet, I am trying to figure out what to expect.

    Following an insurance claim like this, I would expect the premium to go up the following year(s), but I have no idea how much of a hike to expect. 15%? 50%? 300%? I know it depends on each individual case, but I would appreciate any input from anyone who has a point of view or experience on this matter, as this will have an impact on the service charge I will be paying.

    Really appreciate your input, folks! Can't thank you enough.

    PS. I would really appreciate it if we could avoid turning this into a leasehold vs. freehold debate.

    There's no way anyone here can give you a meaningful answer unfortunately 
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