Buildings Insurance on let property

[Carol]

Hi, being a fairly new landlord I would be grateful for any opinions on our current tenant issue.

We own a couple of properties and have previously added a foot note to our SHTA that a 6 monthly insurance premium is due at the time of tenancy renewal (an insignificant amount of approx £70) which our tenants have happily paid in the past.

In effect we insure the properties with buildings insurance and pass the cost on to our tenants.

However, our tenants have just signed a renewed aggreement and are refusing to pay the insurance saying it is not down to them - they seem to be in cohoots.

It seems such a small amount of money to worry about but its principal now

We were just thinking of letting it go and increasing their rent at the next tenancy renewal to cover our costs but I wondered what anybody else would do??

[GPEL]

If it's such a small amount then you pay it, afterall it's your responsibility and were lucky to get anything in the 1st place.

[amc1]

We've never asked our tenants for a contribution towards the buildings insurance. Our letting agent has led us to believe that it is our responsibility. Don't think there are any hard and fast rules.

[Selkirk]

I'd agree that building ins is down to the LL, however, in this instance it's written into the agreement and surely you could enforce that. You won't be able to increase the rent until the AST expires and goes into periodic as far as I'm aware.

Incidentally, for leasehold properties I believe the LL pays the service charge and groung rent.

cheers

[Simon Dewsberry]

On commercial prop T often (if not always is required to pay contribution) of ins .......BUT on resi AST is likely to put T back up ..

If in ast Then i would think enforceable ......but better to just include it in the rent as a single fig IMHO

The Rodent

[CH1]

Think it landlords responsibility to pay Buildings insurance and a requirement for mortgage purposes that you have it in place. It is tenants responsibility to decide whether they wish to insure their contents.

If it's a leasehold prop. you could ask a tenant for a contribution towards the charge as its upkeeping communal areas which they enjoy use of however, it's up to you in the end to pay for it not tenant.