Is building insurance covered in apartment mangt. fees

Jack_92

I was talking to our broker who is in charge of the mortgage application and he informed me that for apartments that have a management fee building insurance would be generally covered and that I would only need contents cover for Mortgage Protection insurance (i.e. no Home Insurance required) I will discuss it with our solicitor but was wondering if this is generally correct?

Baby01032012

Yes it is. Block insurance and management co. directors insurance are covered. You as owner will be named on the block insurance. You will need contents and if i was you as owner Id ensure that contents was enough to cover all internal from carpets to furnishings, kitchen etc. as the block mainly covers structure and anything external to the apartment.

3DataModem

Baby01032012 wrote: »

if i was you as owner Id ensure that contents was enough to cover all internal from carpets to furnishings, kitchen etc.

This is always a good idea. In fact, lots of people make a big mistake and under-insure their contents, not realising that this can affect even small claims.

Example; you have 50k worth of contents and take out 20k of contents insurance.

You have a fire claim that damages 10k worth of contents. A good loss adjuster will realise that you only insured 40% of your contents, so will only pay out 4k.

If this doesn't seem fair, remember that most claims are not for total loss, and insuring a lower amount reduces your premium significantly but does not reduce your likelyhood of claim significantly.

happyfriday74

Block Insurance is(or should be!) covered under the management fee.

You will need to get your name as the new owners and/or your mortgage provider noted on the policy before you complete and your solicitor will arrange this pre closing.