Insurance

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

    Insurance

    When the freehold of our building was sold, the old freeholder cancelled the buildings insurance which we had paid for in advance through our service charge.

    A new policy was taken out by the new freeholder. A refund for the previous policy has been given to the previous freeholder but not passed on to the 4 leaseholders in our building, this is approximately £1200 (£300 per leaseholder)

    We have tried to contact the previous freeholder to obtain this refund, but they are ignoring all correspondence, is there a way we can obtain this refund?

    #2
    As per any other theft - sue them.

    Comment


      #3
      The solicitor should have recovered the amount at the date of sale as an apportionment. The same would apply to any ground rents which had been paid in advance.

      Comment


        #4
        Originally posted by AndrewDod View Post
        As per any other theft - sue them.
        Would we do this through the small claims court? The only issue is we don't know the exact amount of the refund? Assume we would need to know this for any claim.

        Comment


          #5
          Try using the small claims court for £1200 by 4 leaseholders.

          Explain in your claim that the original cost of insurance policy was funded by the service charge account paid by 4 leaseholders. Your details should state this claim is for insurance premium refund, due from termination of insurance policy after sale of freehold to another party

          Comment


            #6
            Gordon999,

            Thanks, we wouldn't need an exact amount for this? Similar to the ground rent, do we need to submit anything in writing prior to submitting something through the small claims?

            Comment


              #7
              Originally posted by eagle2 View Post
              The solicitor should have recovered the amount at the date of sale as an apportionment. The same would apply to any ground rents which had been paid in advance.
              Which solicitor? The new or old freeholders?

              Comment


                #8
                Originally posted by jazzythumper View Post

                Thanks, we wouldn't need an exact amount for this? Similar to the ground rent, do we need to submit anything in writing prior to submitting something through the small claims?
                Just state "previous correspondence for refund to freeholder has been ignored". . So claim "£1200 + small claims court fee"

                Comment


                  #9
                  Originally posted by Gordon999 View Post

                  Just state "previous correspondence for refund to freeholder has been ignored". . So claim "£1200 + small claims court fee"
                  The prior freeholders solicitor has finally responded, forwarding correspondence asking the previous managing agent for the refund, they have explained that they need to contact the broker for this and to ascertain how much of a refund is due.

                  I would have thought it's the old freeholders responsibility to return the money to us?

                  Comment


                    #10
                    I have now been told it is the insurance companies responsibility to refund us?

                    Comment


                      #11
                      By the time this is done solicitors fees will be (much) more than the original £1200.

                      Comment


                        #12
                        That sounds like a fob off. The insurance company will refund it to the person who paid it in the first place (and has probably already done so). They won't refund it to you.

                        Comment


                          #13
                          Usually the amount is calculated on a pro rata basis and settled on completion, so you should ask your solicitor why the usual procedure was not followed. You are entitled to the insurance refund and a proportion of the ground rents if they have been paid beyond the completion date. You would calculate the claim on a daily basis as a proportion of the total but it is possible that the insurance company may deduct an administration charge so you may not recover the full amount.

                          Comment


                            #14
                            If we were to submit a claim, would this be to the the old freeholder? Based on a pro rata amount for both the ground rent and the insurance?

                            Can this claim come from one leaseholder, or does it need to be all 4 leaseholders?

                            I am one of the two directors of the RTM company, so could the RTM company submit the claim?

                            Comment


                              #15
                              The new freeholder should make the claim against the old freeholder and yes, it would be based on a pro rata amount of the ground rent and the insurance. You should inform the old freeholder that you intend to commence legal action and let him have the opportunity to settle the amount before starting the formal claim.

                              Comment

                              Latest Activity

                              Collapse

                              Working...
                              X