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This page highlights the tenant's statutory rights to challenge insurance. There are also three cases dealt with:
  • A tenant was not required to contribute to the cost of insurance because the landlord had failed to take out insurance in joint names in accordance with the terms of the lease.
  • The second considers the case of a freeholder that required a management company to use nominated insurer even though the premiums were higher than the company could arrange with another insurer.
  • A landlord could not recover the cost of insurance premiums from the tenant when the lease contained a specific clause relating to the obligation to insure but omitted a specific clause requiring the reimbursement of the cost of doing so, notwithstanding that such a term would be reasonable and was probably omitted by mistake.

Statutory rights in respect of insurance

Landlord and Tenant Act 1985, Sch 1.

Tenants have the right to obtain a summary of cover, to inspect the policy, notify insurers of a potential claim and to apply to the LVT to challenge the lessor’s choice of insurer and the premiums payable.

Additional Rights of Tenants of Houses under CLRA 2002

No requirement to use landlord's insurer

Section 164 of the Commonhold and Leasehold Reform Act 2002
Leasehold Houses (Notice of Insurance Cover) (England) Regulations 2004. (2004/3097)
Leasehold Houses (Notice of Insurance Cover)(Wales) Regulations 2005 (SI 1354; W 102)
Leasehold Houses (Notice of Insurance Cover) (England) (Amendment) Regulations 2005 (SI 2005/177)

Section 164 of the 2002 Act provides tenants under long leases with new rights in respect of insurance. They are not required to effect insurance with the landlord’s insurer if certain conditions are met, e.g. if the house is insured under a policy of insurance issued by an authorised insurer. These regulations set out the i ... THIS IS AN EXTRACT OF THE FULL TEXT. TO GET THE FULL TEXT, SEE BELOW

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