Buildings insurance - a reasonable amount being asked?

[north2south]

Hi there

I'm a flat owner in a converted Victorian house. The Freeholder is responsible for arranging buildings insurance - the cost of which is split equally amongst the four flats.

I have been cited a figure of around ?600 for my share i.e. c.?2,400 for the building. The four flats are all probably worth in the region of ?390k-?430k each.

Is this a reasonable figure? It seems high.

Thanks!

[KidKruger]

Seems very high, perhaps the insurer sees additional inherent risk insuring a building with several separate households dwelling within it.

[northernmonkey]

You could ask them to show you the broker quotes they got and if they are proposing just renewing ask that they use a broker to get alternatives. No one can tell you if it?s cheap or expensive as don?t know specifics or claims history.

[alice]

Or call a commercial broker yourself. Should be more like ?400

[north2south]

Thanks very much all

[diable rouge]

Sent you a PM...

[Siduhe]

And may be worth checking that the Freeholder isn't receiving a commission for placing the insurance policy with the proposed provider. If they are not a professional freeholder then unlikely, but the commissions for professional freeholders can be substantial.