From our internal research, based on renewals that have taken place over the past three months, landlords insurance recharges are rising. We are seeing average increases of 13.5% feeding through at renewal. This is a combination of rising declared values (4%) and escalating premium rates (9.5%). In many cases the increases are far greater, with Landlords extending their cover as well as taking a more active role in the identification of risks.
Whilst some increases are understandable, huge discrepancies remain without justification. As a result, there is scope to exercise control despite the movement in the market.
With our extensive database and specialist insurance team led by Jackie Sinatra, we review and analyse demands by reference to comparative premium rates and declared values. We also have a live assessment of which insurers/brokers are offering more favourable terms. Allowing us to make informed comments in advance of renewal dates.
Critically, our team of insurance specialists also review the lease terms. This ensures the recharges are based on your contractual liability, and not additional cover that the Landlord has placed to protect their commercial interests.
The insurance market is renowned for the dark arts at play. With excessive commissions of up to 40% (often shared with landlords) and other financial incentives. This is driving bad practice and inflating premiums. But, this can be tackled by adopting our evidence-based approach.
Landlords insurance recharges are rising but they don’t have to for you! Through active management, you can stem the rising tide.
Click here to download our free eBook on Challenging Landlords Insurance Recharges.