Subsidence insurance - help pls

[Helpmeex]

Hi, I bought a property last week which had a subsidence issue which has been fixed July 25. Already regretting it so pls be kind as deed is done already. Well we’ve phone up the current insurers and they have refused to insure the property for reasons best known to them. I was of the understanding that they had to continue insuring the property as it’s all been fixed through them but apparently not. Now I’m struggling to find an alternative insurer and the few that will insure have said subsidence will be excluded from the insurance which is really no good. Before I completed I ask the current owners for a copy of their policy document and it was dated sep 25 to sep 26 so insurance was renewed for them after the works, any reason they’d refuse to offer it to us now? I’ve been told it’s not due to us as owners but the building itself. Any advice on what to do next please? Do I contact BIBA or financial ombudsman?

Sorry I have no good news but I know of a slightly similar situation. Apparently the issue is that ordinary insurance companies try to escape from insuring properties that have had a subsidence issue. If it happens to someone who they are insuring and the insured person has gone through them and done everything right, then again apparently they can't just dump them but they are not obliged to accept a new customer. The fact that its the same house is not relevant, change of customer allows the insurance company to get out. Tiny ray of sunshine is there seem to be many insurers who might cover you. They are specialists and the pricetag is likely to be hefty. I am not going to give names as I have no experience of any of them PLEASE do your due diligence before signing with any of them. Google insurers who specialise in subsidence insurance to get some names.

@Helpmeex Do you have a full specification of the work carried out? Was it monitoring and cosmetic or underpinning? What was the cause of the subsidence? It’s somewhat annoying you cannot continue with the insurance but you need to make sure you have all relevant surveys and details of repairs. A house that’s been repaired is insurable.

its often the case that ordinary insurers won't take on a subsidence affected house until a set number of years after the repair during which there has been no further problem. I have never been personally involved (and pray I never will be) but I know a few people around me who have been affected to varying degrees for varying reasons. Some insurers won't take them on at all, some have varying lengths of time that are required to pass. As I said my my post, there are insurers who will offer specialist insurance but they will likely be more expensive.

My DH is FIStructE and these houses are insurable. He’s worked with many people on them. There are specialist insurers but it’s not cheap which to some extent is ridiculous as there probably won’t be any further issues. You have to use a knowledgable broker.

pretty much what i said.....

Why do you think subsidence will recur if it was fixed? What caused it in the first place? You really need to understand what happened to decide what to do. I don't think anyone has to insure you if they don't think it's worth the risk as said above a specialist may insure you for a price.

My brother had subsidence from next doors trees. Everything was sorted through the neighbours insurance.
When it was time to renew his own insurance it was cancelled. He's now got insurance through a specialist company. It costs a couple of thousand and will rise again this year.

As long as you have a certificate of works you should be able to find an insurer. Try NFU - I know they were helpful some years ago in circumstances like this.

they may be able to give the specialist help needed but when I went to them for "normal" home insurance they were eyewatering....not saying not to go there but due diligence!! oh and its all done human to human....that may be something people want but when the lady who was working on my quote went on holiday for a week, no one else could deal with it.

I did say ‘some years ago’. And the quote they gave me was relatively affordable at the time. 🤷‍♀️

yes and they do get good reviews!

@vipersnest1 The certificates or warranties might not go far enough. DH always recommends that the insurance company is given the diagnosis report for the problem. Hopefully from a structural engineer. What, exactly, was wrong? What caused the issue, was it monitored and what the remedy work involved? Who designed the remedy and who decided what needed to be done? A completion cert really just says it has been done. It’s the end of the job. Background and reasons for the work are key. Then there’s a complete trail from issue to remedy.

Warranties and certificates give no indemnity against further issues though. However if it was underpinned, that’s a better solution but also indicates the issue was worse in the first place. The insurers might need a survey to judge its present condition.