Insurance premiums

A lot of leaseholders often ask me what can be done if they want to challenge their insurance premiums.

The position is of course that service charges are the subject of the FTT’s jurisdiction under s.19 of the Landlord and Tenant Act 1985.

However, the tribual is generally reluctant to look to far into the cost of cover. The received wisdom has been that the landlord places the cover and the tenant reimburses the cost.

However, the case of Cos Services Limited (mentioned below) shows that perhaps the tide is turning. The case concerns block policies and the failure to have competitive cover in the face of evidence to the contrary.

I know from speaking to leaseholders that this is often an issue and I think for those looking to place cover at lower cost, or to promote a discussion about whether costs are reasonable or not this case is good news.

The same will apply to managers who want to help leaseholders find competitive cover.

Mark Chick