Buildings Insurance-No. of Bedrooms

lindabea · 21 November 2019 at 3:07PM

A few months ago, I read in a newspaper that a family had their 3 bedroom property burnt down. Their insurance claim was rejected because the property had a two room loft extension and the insurance company considered these as 2 further bedrooms. However, the 2 loft rooms were only used as storage and not as bedrooms; nevertheless, they told the insurance company that they had a loft extension with 2 rooms, but accepted the policy as a 3 bedroom property. Apparently, even the ombudsman decided in favour of the insurance company

After reading this, it got me thinking- somewhat worriedly. When insurance companies ask 'how many bedrooms', do they mean actual rooms beside kitchen/bathrooms, or the number of rooms USED as bedrooms.

I think it's such an ambiguous question and obviously used to decline potential claims. For instance, how many people, like myself who have three room property (besides kitchen/bathroom)
but one of those rooms is used as a study or dining room. Would you insure the property as 2 or 3 bedroom.

Insurance companies should ask how many rooms you have and not how many bedrooms. Surely, how you call/describe a room depends on how you use it.

I would appreciate comments from anyone who has some experience of this matter

Weighty1 · 21 November 2019 at 3:16PM

I think in most instances it would be quite clear. When I bought my house it was advertised as X bedrooms. A dining room, utility room, lounge or downstairs study is NEVER going to be classed as a bedroom by an insurer

When you bought your house, how was it advertised?

lindabea · 21 November 2019 at 3:27PM

Weighty1 wrote: »

When you bought your house, how was it advertised?

Well, this is my issue and one I'd like to clarify. How it was advertised when I bought it, is irrelevant for insurance purposes. However, for the record, it was advertised as 3 bedrooms. However, I'm using only 2 rooms as bedrooms and the other as a dining room because this configurations suits my lifestyle, but someone else may prefer 3 bedrooms. When I sell my property, I could decide to advertise it as 2 bedrooms a dining room and a lounge. Incidentally, I should add that the property is a bungalow which may have a greater ambiguity to the question when an insurance company asks' how many bedrooms.

Traditionally, in a house, the rooms upstairs are usually regarded as bedrooms, but even that nowadays, one of those rooms could be used as a study or a child's playing room.

So, how do you answer such an ambiguous question.

Weighty1 · 21 November 2019 at 3:31PM

lindabea wrote: »

Well, this is my issue and one I'd like to clarify. How it was advertised when I bought it, is irrelevant for insurance purposes. However, for the record, it was advertised as 3 bedrooms. However, I'm using only 2 rooms as bedrooms and the other as a dining room because this configurations suits my lifestyle, but someone else may prefer 3 bedrooms. Incidentally, I should add that the property is a bungalow which may have a greater ambiguity to the question when an insurance company asks' how many bedrooms.

Traditionally, in a house, the rooms upstairs are usually regarded as bedrooms, but even that nowadays, one of those rooms could be used as a study or a child's playing room.

So, how do you answer such an ambiguous question.

You answer it based on how 99% of the population would answer it, which is based on the number of bedrooms it was advertised as when purchased.

I could use 3 of my bedrooms as a study, walk-in wardrobe and a home gym, however, this does not detract from the fact it was advertised as having X number of bedrooms when for sale.

Conversely, if you went to view a house that was advertised as 4 bedroom but 1 of the bedrooms was a dining room and the other a lounge then I think most people would walk away on the basis that it was a bit disingenuous to be advertised as 4 bedroom.

lindabea · 21 November 2019 at 3:42PM

Weighty1 wrote: »

Conversely, if you went to view a house that was advertised as 4 bedroom but 1 of the bedrooms was a dining room and the other a lounge then I think most people would walk away on the basis that it was a bit disingenuous to be advertised as 4 bedroom.

This is exactly the point i'm making. Personally,I would not find it disingenuous if I find my self in the situation you describe above. The point I'm making is that the house still has 4 rooms, but the owner decides how to utilise them. And how you describe it to an insurance company when asked 'how many bedrooms' depends on your own personal usage.

Weighty1 · 21 November 2019 at 4:39PM

lindabea wrote: »

And how you describe it to an insurance company when asked 'how many bedrooms' depends on your own personal usage.

No it doesn't.

I'm outta here....

System · 22 November 2019 at 12:54PM

The standard advice is:
"Your home insurance company will ask how many bedrooms you have in your property to see what size your home is. A bedroom is generally defined as a room either originally designed for sleeping in (even if now used for other purposes), or later converted for sleeping in"

That would mean any room is counted as a bedroom if

a) it was designed as a bedroom, even if not now used as one

b) it is now used as a bedroom even if not originally designed as one
c) it could be used as a bedroom but is not currently

Obviously on this basis the total number of rooms will be double-counted, because rooms now used as bedrooms might originally have been an extra sitting room, bathroom, store-room, etc.

It's a stupid ambiguous classification. It would be better simply to ask for total floor area, as in America or Europe, or base insurance on house value regardless of how the rooms are used.

eddddy · 22 November 2019 at 1:47PM

lindabea wrote: »

A few months ago, I read in a newspaper that a family had their 3 bedroom property burnt down. Their insurance claim was rejected because the property had a two room loft extension and the insurance company considered these as 2 further bedrooms.

<snip>

It's not always good to rely on what you read in a newspaper.

Reading the Ombudsman's decision might give a clearer picture.

Are you thinking of the case where the home owner declared 5 bedrooms, but the insurance company claimed there were 7 - including 2 in the loft?

If so, the ombudsman report mentioned the following:

When the owner bought the house, the estate agent advertised the house as 7 bedrooms
The owner's survey described the house as 7 bedrooms
But the owner declared 5 bedrooms plus 0 'other rooms'
The owner didn't contact the insurer to clarify

The owners defence seemed to be that the rooms weren't compliant with building regs.

Here's the ombudsman's full decision: https://www.financial-ombudsman.org.uk/files/71595/DRN2584544.pdf

lindabea wrote: »

So, how do you answer such an ambiguous question.

Phone the insurer (or email), explain the situation accurately, and see what they advise. (You can still arrange the insurance online, to benefit from online discounts etc.)

Insurers generally record calls, so keep a note of the date, time and number you called from. Then you can refer back to it, if there's any dispute later.

Aretnap · 22 November 2019 at 1:59PM

Clifford_Pope wrote: »

It's a stupid ambiguous classification. It would be better simply to ask for total floor area, as in America or Europe, or base insurance on house value regardless of how the rooms are used.

Most people have no idea of the total floor area of their house, and many would struggle to measure it.

House value is not a particularly useful piece of information for insurers because there are almost no circumstances in which they would have to pay it out. What matters in the event of a total loss claim (eg the house burning to the ground) is the cost of rebuilding it - and that is usually very different from the price it would sell for. A 3 bedroom semi in London has a very different value to an identical one in Doncaster, but they would both cost about the same to rebuild.

You can get policies which are based on the rebuild cost if you want... but the average consumer has even less idea of what it would cost to rebuild his house than he does of its floor space, and risks being underinsured if his estimate of the rebuild cost is too low.

Which is not to say that I think using the number of bedrooms as the basis for the policy is a perfect system... but it's not obvious that it's wise than the alternatives.

SonOf · 22 November 2019 at 2:48PM

A few months ago, I read in a newspaper that a family had their 3 bedroom property burnt down. Their insurance claim was rejected because the property had a two room loft extension and the insurance company considered these as 2 further bedrooms. However, the 2 loft rooms were only used as storage and not as bedrooms; nevertheless, they told the insurance company that they had a loft extension with 2 rooms, but accepted the policy as a 3 bedroom property. Apparently, even the ombudsman decided in favour of the insurance company

Did you read a proper article on this or a biased/sensationalist article?
e.g. did the article mention that there were beds and a wardrobe in the loft rooms?
and the property was marketed as having 7 rooms.
With beds and a wardrobe, this would not be "only used as storage" as claimed.

When insurance companies ask 'how many bedrooms', do they mean actual rooms beside kitchen/bathrooms, or the number of rooms USED as bedrooms.

Typically, it is the number of bedrooms that the house was built or configured to or used for whichever is the greater.

I think it's such an ambiguous question and obviously used to decline potential claims.

Its not at all. However, some people may try it on. Some may not read the question correctly.

If you have any doubt then contact the insurer.

The reason this claim was rejected was the insurer would not have offered cover to a 7 bedroom property. It stopped at 5 bedrooms. If they had declared 3 bedrooms and it was actually 4 bedrooms, then the insurer would have paid out minus a deduction for the change in the premium.

kdotdotdotdot · 13 January 2020 at 8:01PM

It can be an ambiguous question, and perhaps the issue is with bungalows. I'm in the process of buying a dormer bungalow, which - to my mind at least - has one bedroom upstairs, and three reception rooms downstairs (as well as a kitchen, downstairs shower room and upstairs en-suite).

I'm glad I read this thread as in all honesty I would have insured it as a one-bedroom bungalow, but I see now that I have to say it's two bedrooms.

Thanks to the OP for asking, and to all who replied. Saved me a potential problem, I think.

Buildings Insurance-No. of Bedrooms

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