House sale fallen though, gutted and totally fed up.

eddddy

poseidon1 said:

nnnnnn has been my go to insurer in this space per link below -

I note however that the premium for basic cover is now at £79 compared to £65 last year, no doubt as a result of more claims. However still worthwhile in my view. 

 If I were selling, sellers cover at £69 for up to £1650 cover seems very reasonable. 

In both cases there is a narrow window to apply so if you are not already aware of these policies, you maybe too late to apply if the buying/selling process has progressed too far.

Their numbers don't seem to add up.

I think I would be asking them some very probing questions about their numbers, before buying the insurance.

• They charge a £79 premium

• They say that 1 in 4 transactions falls through...

• ...and they talk about claiming back conveyancing fees of £700 to £1500, when a transaction falls through.

That would mean that for every 4 policies they sell at £79 (total premiums 4 x £79 = £316), on average they have to pay one claim of £700 to £1500

They would have gone bankrupt, if that were the case!

(If the folks from that company read this - maybe you could explain how your numbers work.) 




Here are some extracts from their website - for sellers:


Link: https://www.rhinohomeprotect.com/blog/2022/07/04/the-process-of-selling-a-house/


For buyers:


Link: https://www.rhinohomeprotect.com/home-buyers-insurance/essential-property-protection/

Slinky

It may be one in four transactions falls through, but some of those will be with the seller pulling out, where the insurance wouldn't cover it.

It's interesting to see people complaining about the broken system in England compared with Scotland, but conversely the Offers Over system in Scotland isn't a great one either IMO.

user1977

eddddy said:

poseidon1 said:

nnnnnn has been my go to insurer in this space per link below -

I note however that the premium for basic cover is now at £79 compared to £65 last year, no doubt as a result of more claims. However still worthwhile in my view. 

 If I were selling, sellers cover at £69 for up to £1650 cover seems very reasonable. 

In both cases there is a narrow window to apply so if you are not already aware of these policies, you maybe too late to apply if the buying/selling process has progressed too far.

(If the folks from that company read this - maybe you could explain how your numbers work.) 

The numbers work because the policy only covers a narrow range of circumstances.

Even if we take the "premium" home buyers policy (summary of cover here) note the main thing it covers is the seller either withdrawing the property from sale ("for reasons beyond your control" - not sure what that caveat means) or gazumping you (as long as it's for a price at least £1,000 more than your agreed price). Among the many things it does not cover:

• a chain failing to reach the point of exchange or agreeing a completion date (at least, where it's you who gets fed up and pulls out, rather than your seller)
• you not liking something in your survey and/or failing to agree a price reduction
• you not getting an acceptable, or any, mortgage offer (other than the specific bits about redundancy, undervaluation or retentions)
• something adverse in the titles (other than the vendor being not legally entitled to sell you the property)
• you not liking proposed communal works
• adverse results in your searches (whether that's flood risk, contamination, nearby development, road adoption, etc) - other than the weird exception of a compulsory purchase order
• you not liking answers in the seller's questionnaire (neighbour disputes etc), or failing to agree fixtures and fittings

And probably a bunch of other reasons we've discussed here before.