Legal expenses insurance - worth it?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Legal expenses insurance - worth it?

    I have been taking out legal expenses insurance for the last few years for my BTL property.

    I am wondering what the point of it is really. I would only ever need to use it under the following scenarios:

    1) rent arears
    2) eviction
    3) property damage

    In all the above cases I can just as easily do this myself, either issuing section 21 notices or doing a money claim online with very little upfront cost.

    Since I vet my tenants well enough, only let to professional tenants who would worry about credit history etc, I am now wondering whether to forget about this insurance. From what I read the insurance company will have you go through a lot of hurdles before any help and any help will be very low quality as to not be worth it at all.

    Any thoughts?

    #2
    How about if tenant sues you?
    To save them chiming in, JPKeates, Theartfullodger, Boletus, Mindthegap, Macromia, Holy Cow & Ted.E.Bear think the opposite of me on almost every subject.

    Comment


      #3
      It's like all insurance, it's only value for money if you use it. I don't have it but I only use insurance where it's a legal requirement or it may be so much it would bankrupt me. Others will thing differently.

      Comment


        #4
        The building has normal buildings insurance which includes personal liability insurance.

        Comment


          #5
          Originally posted by leasee123 View Post
          The building has normal buildings insurance which includes personal liability insurance.
          'The building'?

          You mean tenant sues you for something he hurts himself on in your flat, and you think the freeholder's building insurance will pay to defend you?
          To save them chiming in, JPKeates, Theartfullodger, Boletus, Mindthegap, Macromia, Holy Cow & Ted.E.Bear think the opposite of me on almost every subject.

          Comment


            #6
            Why wouldn't the insurance be valid?

            Comment


              #7
              Originally posted by leasee123 View Post
              Why wouldn't the insurance be valid?
              Because it's for the common areas. Not the individual flats.
              To save them chiming in, JPKeates, Theartfullodger, Boletus, Mindthegap, Macromia, Holy Cow & Ted.E.Bear think the opposite of me on almost every subject.

              Comment


                #8
                I always have Legal Expenses Insurance - and often it is included for free. I have had cause to use the help line a couple of times, had a rent arrears paid because they felt it cheaper than going to court & then had one really big claim when we did have to go to court.

                Legal fees mount up so quickly and are so huge that I would not go without this - ever.

                Comment


                  #9
                  Most advice is free ,and insurance cover will not fund legal action .It may be included at no extra charge bit is never free.

                  Comment


                    #10
                    We have the lot, building, landlord fixtures & fittings, legal expenses, directors and officers, management liability, rent guarantee, re-housing cover

                    Comment


                      #11
                      Originally posted by SouthernDave View Post
                      We have the lot, building, landlord fixtures & fittings, legal expenses, directors and officers, management liability, rent guarantee, re-housing cover
                      What percent of turnover is that\?

                      Comment


                        #12
                        Originally posted by gnvqsos View Post

                        What percent of turnover is that\?
                        4%… bargain for total peace of mind

                        Comment


                          #13
                          That's £3000 pa.Have you ever claimed.

                          Comment


                            #14
                            Originally posted by gnvqsos View Post
                            Most advice is free ,and insurance cover will not fund legal action .It may be included at no extra charge bit is never free.
                            I disagree - legal insurance covers you exactly for the. I know - I claimed!!

                            Comment


                              #15
                              Originally posted by jpucng62 View Post

                              I disagree - legal insurance covers you exactly for the. I know - I claimed!!
                              How much was
                              A the annual premium
                              B the excess
                              C the claim pay out
                              Thanks

                              Comment

                              Latest Activity

                              Collapse

                              • Reply to Guests and insurance
                                by 2sheds
                                Interestingly my insurers said they don’t know the answer to my query and that they will look into it and get back to me....
                                15-08-2022, 21:56 PM
                              • Guests and insurance
                                by 2sheds
                                Hi
                                I contacted my long standing tenants to arrange a date to do some decorating. They said I couldn’t come during a certain period as they are going on holiday for a week and whilst they are away one of their parents will be staying at the house to look after their dog. Whilst I’ve no objection...
                                14-08-2022, 14:24 PM
                              • Reply to Guests and insurance
                                by gnvqsos
                                The tenant has invited the guest without your consent ,at their own risk. You are worrying about a highly unlikely hypothetical event-if this is usual get out of the market for your sanity.
                                15-08-2022, 19:37 PM
                              • Issue with proof of Tenant checks
                                by rocky448
                                Hi,

                                My tenants recently had a fire at my property. I used a lettings agent to find and vet my new tenant, the agents has since gone into bust.I have produced my tenancy agreement and bill from them but the Insurance company are being very awkward insisting i provided more evidence. I have...
                                12-08-2022, 15:03 PM
                              • Reply to Issue with proof of Tenant checks
                                by JK0
                                I don't see how tenant reference checks are relevant. The claim is for fire damage. Not non payment of rent.
                                14-08-2022, 21:26 PM
                              • Homecare plan for gas/water in SE London?
                                by markek
                                Any recs for quality / cost effectiveness please,
                                Thanks
                                04-08-2022, 10:12 AM
                              • Reply to Homecare plan for gas/water in SE London?
                                by ash72
                                If you don't know any plumbers then BG policy is the only one I would get, there's others in the market but they just subcontract the work out which is crap as some don't even know what they are doing. For water I wouldn't bother, if it's a block drain etc, then just get someone round, and usually the...
                                14-08-2022, 21:05 PM
                              • Reply to Issue with proof of Tenant checks
                                by ash72
                                Did you not obtain a copy of the reference checks for your own records? Hope you have all the other paperwork associated with the Tenancy. I'm surprised that they haven't asked the cause of the fire, as that would indicate if it's covered or not.

                                You've not had much luck, but then again...
                                14-08-2022, 20:59 PM
                              • Reply to Guests and insurance
                                by ash72
                                There's a lot of "What If"..... don't worry about it, as far as you are concerning the T's are still there, just because the T has informed you of something doesn't make it correct, as far as your concerned.
                                14-08-2022, 20:52 PM
                              • Empty property over 45 days empty building insurance
                                by Starlane
                                One of our neighbours has left her property empty for over 55 days, does this or can this invalidate the building insurance and increase any costs to us?
                                14-08-2022, 16:46 PM
                              Working...
                              X