Can You Insure A Building You Don’t Own?

There are several instances where you may want to insure a building you don’t own. For instance, you may want to help out an elderly relative and save them the hassle of taking out an insurance policy themselves. Or, you may want to take out a policy on behalf of your employer to protect a business premises. In this guide, we’re looking at whether you can insure a building you don’t own?

The answer is no – you cannot insure a building you don’t own. Only the owner of the property can purchase building insurance. If you’re a tenant who is concerned about whether building insurance is in place, you should check with your landlord.

Can you purchase insurance for a property you’re in the process of buying?

Most insurers will want you to be the legal owner of a property before purchasing insurance. This means contracts will need to have been exchanged. One concern that some home buyers may have is if the former property owners don’t have insurance in place – possibly because their policy has lapsed or they’ve cancelled it. This means there is a period of time when the building is not protected from damage.

We understand the concern here, but a property sale is not confirmed until the exchange of contracts and as soon as that is complete, you can go ahead and purchase your building insurance to protect the property.

Speak to Agentis today

We hope you have found this article helpful. Our expert team of mortgage and insurance brokers are here to answer all your questions and help find a policy that works for you. Contact us today to arrange your free initial consultation.