Insurance problems

[AccioPinotGrigio]

I was renewing my buildings insurance yesterday which is due to expire in 10 days. I was going through the usual questions and it came to a question about subsidence. I said that there had been some movement in the building at some point (not in the last 25 years, probably not in the last 80 years) and that our survey report had confirmed that this was the case but the movement was complete and the likelihood of further movement was very remote.

Our insurer said that this was the first they had heard of it and as it hadn't been disclosed before, our buildings insurance policy was therefore void and that they would (a) have to cancel it immediately and (b) would not be able to provide any further cover for us.

I don't know for the life of me why I never mentioned it before, I don't know why it crossed my mind to dig out the survey report this year. I am not terribly organised but I know that is no defence.

Anyway, I am in the position now where I have had to seek other insruace quotes and because I have officialy had an insurance policy cancelled the insurers I am speaking to are having to contact their underwriters to discuss whether they will cover me. I am now really worried that I won't get cover for home.

In addition, my husband is also trying to get insurance cover for new studio premises (public liability etc) and I am worried that the cancellation of our home buildings policy will prevent him from doing so. I haven't told him any of this yet and he is likely to go batshit at me.

Can any kind soul out there tell me if this cancellation issue will prevent us from getting any cover at all. That would be a nightmare. Higher premiums I could cope with but no cover at all would be hugely problematic.

Sorry, no advice but just to say that I feel for you, I can easily imagine doing the same thing myself. Would it be possible for you to appeal the cancellation of your policy on the basis that you previously answered the questions in good faith. I think the usual wording is 'to the best of your knowledge' - which is what you did as you had totally forgotten what the survey said. Might be worth contacting the Association of British Insurers to see if they can advise or even the Finacial Ombudsman.

Just found site www.superquote.com/conviction-insurance/previous-cancelled-void-refused-insurance.htm

HTH

DOn't know why that didn't work this website

Thanks for the interesting link and the sympathy DaisyS (love the name, love Spaced!). I feel like such mug. Although I have to wait to hear on the buildings insurance, fortunately DH has been able to get covered for his studio (phew!) so that's a positive. Thanks again.

I had a look on the Financial Ombudsman website - if you type in non-disclosure lots of interesting stuff comes up. I really think it would be worth speaking to them - if you'd had a claim turned down because of this I think it's highly likely that you'd have a good case because it was a totally innocent mistake as evidenced by the fact that you did later tell them about it! Not sure how it works if it's just voiding the policy though. Good luck, hope it all works out OK for you.

Thanks DaisyS I will have a look at the website. I wasn't intending to con anyone, it was an innocent (if stupid) error on my part. Thanks!

I would go back and ask to speak to a manager, especially if the house is older, as at some stage there may have been movement in the building, but that does not always equate to subsidence. Ask them to define what they mean by subsidence and what is meant by movement.

My house is 176 years old, so when I am asked about subsidence I just say not to my knowledge, but the house is well over 100 years old, how far back do you want to go?

My previous house would have had 'movement' as it was in an area bombed in the war - that is not subsidence however.

I thought all buildings had movement when they settled after being built anyway.

Thanks scaryteacher that's an interesting perspective. The valuers report actually does only mention movement and not subsidence.

A report would specifically say of the property had suffered subsidence. I would contact your original insurers and say you think you have made a mistake in the way you read the survey and ask if you can fax/scan a copy over to them to get the underwriters to look at. If it is only movement it is probably just settlement which most houses have.

Thanks Gonzo.