Freeman Posted July 27 Report Share Posted July 27 I own several flats that rent, one is a Maisonette. I have received a letter from my insurance brokers notifying me that the insurance will be cancelled as of next week due to changes to the regulation covering this type of properties. In my case the people owning the other flat and I own the freehold and each one of us has a lease on the flat. They have their insurance policy and have mine. Can someone explain the change in regulations and what is the problem? Thanks. Quote Link to comment Share on other sites More sharing options...
CMA Posted July 27 Report Share Posted July 27 Are these properties just individual flats within a block of flats? Not a HMO or room rent with communal facilities? I think you'll need to ask your insurance what regulation they refer to and what new cover would be needed, then look on the comparison sites for insurance to see what they say and if you can get cover there. Doesn't sound right to me, not heard of any specific changes to flat rentals insurance coverage. Quote Link to comment Share on other sites More sharing options...
pjk1978 Posted July 27 Report Share Posted July 27 I have a few rentals, but houses not flats. I use CIA insurance, they've come in very cheap year on year for the last 4 renewals. Quote Link to comment Share on other sites More sharing options...
Freeman Posted July 27 Author Report Share Posted July 27 21 minutes ago, CMA said: Are these properties just individual flats within a block of flats? Not a HMO or room rent with communal facilities? I think you'll need to ask your insurance what regulation they refer to and what new cover would be needed, then look on the comparison sites for insurance to see what they say and if you can get cover there. Doesn't sound right to me, not heard of any specific changes to flat rentals insurance coverage. This flat is a house that was divided into two flats. Quote Link to comment Share on other sites More sharing options...
CMA Posted July 27 Report Share Posted July 27 1 minute ago, Freeman said: This flat is a house that was divided into two flats. So one house, split into 2 flats. Do both flats have their own exclusive bathroom/toilet and kitchens? I'm wondering if they may be seeing this as a HMO rather than flats? Who is the insurer that is cancelling on you? I think only they will be able to tell you why. Quote Link to comment Share on other sites More sharing options...
Freeman Posted July 27 Author Report Share Posted July 27 43 minutes ago, CMA said: So one house, split into 2 flats. Do both flats have their own exclusive bathroom/toilet and kitchens? I'm wondering if they may be seeing this as a HMO rather than flats? Who is the insurer that is cancelling on you? I think only they will be able to tell you why. Yes, both flats are self contained with individual bathrooms, kitchens etc. What is HMO? The insurer is AXA and the broker Howden (A Plan) Quote Link to comment Share on other sites More sharing options...
pjk1978 Posted July 27 Report Share Posted July 27 2 minutes ago, Freeman said: Yes, both flats are self contained with individual bathrooms, kitchens etc. What is HMO? The insurer is AXA and the broker Howden (A Plan) House in multi occupancy, rules are usually more complex than a standard BTL but I've not heard of insurance companies cancelling policies for this reason. Quote Link to comment Share on other sites More sharing options...
CMA Posted July 27 Report Share Posted July 27 7 minutes ago, Freeman said: Yes, both flats are self contained with individual bathrooms, kitchens etc. What is HMO? The insurer is AXA and the broker Howden (A Plan) Just for info for one councils definition of HMO vs Flat have a read of what Barnsley council consider to be one or the other here: https://www.barnsley.gov.uk/media/17610/house-in-multiple-occupation-or-self-contained-flats.pdf other councils may vary. but sounds like you have flats rather than a HMO anyway. As pjk1978 says, unusual to cancel a policy for seemingly no reason. Howden are sponsors of the site perhaps they might be able to chip in here and shed some light on the reason @Carlie Howden but I imagine they will only discuss specifics direct and not in public. Quote Link to comment Share on other sites More sharing options...
Freeman Posted July 28 Author Report Share Posted July 28 10 hours ago, CMA said: Just for info for one councils definition of HMO vs Flat have a read of what Barnsley council consider to be one or the other here: https://www.barnsley.gov.uk/media/17610/house-in-multiple-occupation-or-self-contained-flats.pdf other councils may vary. but sounds like you have flats rather than a HMO anyway. As pjk1978 says, unusual to cancel a policy for seemingly no reason. Howden are sponsors of the site perhaps they might be able to chip in here and shed some light on the reason @Carlie Howden but I imagine they will only discuss specifics direct and not in public. I have asked what have change and got a long answer that the end of it is "it will be dificult and complicated to claim if there is a fire downstairs". To me it sounds as "we will have to work hard and spend too much time and we ate not interested ". They will insure both flates or none. There letter that arrived yesterday reads: "Dear Mr xxxx I refer to our previous conversation you had with xxxx regarding the cover arranged for landlord's insurance for xxxxxxxx on 24/4/2024. We are writing to inform you that due to change in regulations regarding multiple occupancy properties, the current insurance in place is no longer suitable to provide the correct cover for your property. We are authorised by AXA Insurance to act as their agent and inform you that on 5:00pm on 30th July 2024 all cover will be cease." When I went to there office I was two days away from going to Greece for a week and when returned found out that the owners of the ground floor are on honeymoon and should be back today sometime so couldn't do much. Quote Link to comment Share on other sites More sharing options...
Stuart21UK Posted July 28 Report Share Posted July 28 You need to insure as one ie both flats covered by the same policy which is more the norm. Who owns the freehold? If one of you does they insure and share the cost with the other... If you own together ie via separate ltd company then that entity arranges cover and you both share the cost For all others this doesn't sound like HMO simply house split into 2 flats as either normal leasehold (with an absent freeholder maybe?) or more likely 'share of freehold' 1 Quote Link to comment Share on other sites More sharing options...
Freeman Posted July 28 Author Report Share Posted July 28 We both own the freehold. We don't have a Ltd company. When there is a need for a repair we do it and share the cost. Quote Link to comment Share on other sites More sharing options...
Stuart21UK Posted July 28 Report Share Posted July 28 7 hours ago, Freeman said: We both own the freehold. We don't have a Ltd company. When there is a need for a repair we do it and share the cost. then arrange for the combined property together and split the cost, the important thing is that a single policy covers the whole, unlike what you have now Quote Link to comment Share on other sites More sharing options...
Freeman Posted July 28 Author Report Share Posted July 28 @Stuart21UK Thank you Stuart. Ben 1 Quote Link to comment Share on other sites More sharing options...
Freeman Posted August 3 Author Report Share Posted August 3 Just to thank again to all who have provided an advice. "A Plan" did put a loaded pistol into our heads by giving us 1 week notice before canceling my policy. I was a day or two before going on holiday when I realized what is going to happen and when came back the other free holders were on honeymoon so when they returned we were left with 24h to sort the mess. I was fuming, but the young lady at the office was A* and was very helpful. Thank you Quote Link to comment Share on other sites More sharing options...
pjk1978 Posted August 3 Report Share Posted August 3 So how was it resolved in the end? Quote Link to comment Share on other sites More sharing options...
Freeman Posted August 4 Author Report Share Posted August 4 10 hours ago, pjk1978 said: So how was it resolved in the end? The lady at A plan was very good and helpful and provided a solution We had to take a commercial policy under both names at a higher cost and more clauses. Next year I will have more time to look into it. Quote Link to comment Share on other sites More sharing options...
Stuart21UK Posted August 4 Report Share Posted August 4 9 hours ago, Freeman said: The lady at A plan was very good and helpful and provided a solution We had to take a commercial policy under both names at a higher cost and more clauses. Next year I will have more time to look into it. glad you sorted it.... 1 Quote Link to comment Share on other sites More sharing options...
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