Exclusive and Unique Landlords Property Insurance
Exclusive and Unique Property Owners Scheme
Coversure Kennington has exclusive underwriting authority to insure properties let to any type of tenant whether on a tenancy agreement or not and any type of properties including HMOs. The scheme is known as PICS – Property Insurance Council Scheme. However, is not just for the Council Landlords, but for any Landlord who wants Insurance for their rented properties. This scheme is underwritten by AXA Insurance UK.
We were approached by Brent and Islington Councils to provide them with a unique scheme for the benefit of their Private Landlords. Different Councils have different arrangements with Landlords from ‘Daily Basis’ to ‘5 Year Contracts’ and the majority of insurance policies in the market will not cover these types of tenancies.
Could not be simpler – just complete the online Property to let form by clicking here. Or contact us during office hours for an instant quote in most cases. There is no proposal form to complete and a policy schedule is sent out usually within 7 days of inception. Confirmation of cover can be emailed or faxed to your solicitor or local Council if required at no extra cost.
AXA is a world leader in financial protection and wealth management. AXA Group reported total revenues for the first half of 2006 of €41 billion and had €1,091 billion in assets under its management as of June 2006. AXA operates in more than 50 countries serving more than 50 million customers worldwide. *
| A standard Property Owner policy | Our PICS Policy |
 Building, Loss of Rent, Property Owners Liability as standard
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 Includes Malicious damage by tenants or their guests cover as standard (£5,000 Limit)
Accidental Damage to fixed glass, double glazing, sanitary fixtures, supply pipes and cables covered
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Premium varies according to the type of tenants and property
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Unique single rate for buildings cover regardless of tenant type or property
No Tenancy Agreement, Short Term / Temporary Housing Accepted
DSS, Asylum seekers, Vulnerable, Council Referrals all Accepted
Single flat or House with Multiple Occupation (HMO) - all Accepted
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Restricted underwriting criteria
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Flexible and underwriters’ that apply a common sense approach to insurance
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Fixed price quotes
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15% Discount for Accredited Landlords Discounts + Portfolio cases can benefit also if good clean risks
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Buildings Insurance the Right Way
It is quite a common mistake that all residential property and insurance cover for them are the same. Whilst insurers will easily accommodate the average person and property there will be property types that need particular care and attention.
Should you own any of the properties mentioned below we strongly recommend that you obtain written confirmation that insurers are fully aware of the circumstances of the risk and double check the policy wording. Mistakes can lead to cover being invalid. Remember it is not best practice to strive for the very lowest premium on these types of risk.
Joint Freehold
It is now common practice for leaseholders to buy their share of the freehold; this often causes more difficulties than imagined. The policy must be written in joint names for all the freeholders noting the interest of each lender, if applicable. It is fairly simple to form an association for “123 the Avenue” the benefit of a policy written in the association’s name proves very advantageous when a flat is sold as it is far quicker to change the name of an individual owner rather than the whole policy. The total premium is simply shared between all the owners.
Blocks of Flats / Residents Associations
The same rules apply to the above, however be sure you have property owners liability for common land, car parks etc. Properties divided into flats should not normally be insured separately as problems may arise when a claim occurs. Be cautious of any insurer or broker who offers you cover for single flats as they may leave you with a mess to resolve.
Buy to Let / Investment Property Portfolios
Always ensure the insurer is fully aware of the type of tenant i.e. Professional/working people, Students, DSS or Asylum Seekers either at the outset of the cover and if changes happen during the policy term. Often the best way to insure a number of properties if the tenant type is the same may be to take out a block policy, particularly if you regularly add or delete properties. It may be better to keep higher rated tenants i.e. Students/DSS & Asylum Seekers on a separate policy to avoid this being charged across the board.
Working from Home
If you carry out any trade from home either clerical or manual your insurers must be notified otherwise your buildings and contents cover could be invalid. Any work may affect the insurer’s assessment and rating of the risk, as exposure to perils will be higher than the average home. An example is theft cover, as thieves will be more likely to break-in to steal business equipment or stock. Occasionally cooking from home for your catering business may expose the property to a greater risk rather than just making family meals. If you are trading as a limited company Employers Liability cover is a legal requirement.
High Net Worth Property
It’s worth considering that the basic policy based on bedrooms or with a blanket sum insured will not suit everyone, although the overall limits may seem high, the limits for items such as valuables, which in general terms relate to any items with a value of £1,000 including furniture, may not be adequate for your actual needs. You may also find a “off the peg” policy is inflexible for your continuing family/lifestyle needs. It may be worth checking the benefits of a bespoke high net worth policy to ensure your home is adequately protected.
Underpinned / Flooded Property
With less than normal weather, subsidence & flooding is becoming far more commonplace. If you are in the position that your insurer is happy to continue cover after a claim, it is prudent to get them to confirm this in writing and if they are able to transfer or carry over the policy to any future purchaser, otherwise you could be stuck with an un-sellable property. Similarly when buying a property of this nature, you could find that the mainstream insurers do not offer this cover so you may need to seek the help of a specialist broker.
If you are in any doubt about any scenario mentioned above, always speak to your insurer/broker first; Alternatively a specialist whose details can be obtained from the British Insurers Brokers Association (BIBA) on 0207 623 9043.
If you have any questions or concerns relating to commercial insurance matters please contact Coversure Kennington on 0870 4585 680* or email on kennington (at) coversure.co.uk.
* Calls cost 6.7p per minute from a BT Landline. Other networks and mobile rates may vary.
Tenancy Deposit Schemes from 06th April 2007
A landlord does not have to take a deposit but all those who do so from 6th April 2007 have to join a government-authorised tenancy deposit scheme.
Three schemes have been authorised by the Government:
- A custodial scheme run by the Deposit Protection Service (www.depositprotection.com)
- An insurance-based scheme operated by Tenancy Deposit Solutions Ltd (a company jointly owned by the National Landlords Association and Hamilton Fraser Insurance Services Ltd) (www.mydeposits.co.uk)
- A second insurance scheme operated by the Dispute Service (www.tds.gb.com)
What does the Tenancy Deposit Scheme do?
For Tenants:
- It requires deposits to be returned promptly when there is no dispute over damage and breakages
- It provides fair and independent adjudication of disputes, should they occur
- It ensures the return of a deposit when an adjudication goes the tenant’s way
- It gives tenants confidence in their landlord’s sense of responsibility
For Landlords:
- It provides fair and independent adjudication of disputes, should they occur
- It’s cost effective, quicker and less stressful than going to court
- It attracts tenants who will have confidence in their landlord as being fair
- Paying the rent is part of the deal
For more information, read the news on Tenancy Deposit Scheme.
