New Home Owners And Snagging Forum

Home Owners => Mortgages and Insurance => Topic started by: The Prophet on July 25, 2011, 10:09:18 am

Title: Home Insurance - Subsidence claims
Post by: The Prophet on July 25, 2011, 10:09:18 am
Most Home Insurance ( forms have a question asking whether your home has suffered from any subsidence, however many now also require you to inform them if the property is situated in an area that is prone to subsidence. If you fail to disclose this then any subsequent claims for subsidence could be rejected for 'non-disclosure'.

How are you supposed to know?  The Law Society publishes a list of postcodes affected so it should show up in a solicitor's search or if a full survey is carried out.

Many areas are affected by coal mining and The Coal Authority ( can provide a survey to check if the history of mining in a particular area is likely to cause any severe damage to property. Since the coal mining decline, many new homes have been built on sites of former mine workings. However, subsidence will be covered under the NHBC Buildmark warranty for ten years even if a claim under the home insurance policy is rejected.

Insurance companies will already be aware of the risk of subsidence for a particular postcode as they have access to a vast amount of data in order to assess the risks and therefore set your premium at the appropriate level. It should not be incumbent on the homeowner to disclose subsidence issues for the local area in order to receive the cover they are paying for when a claim is made. 

Title: Re: Home Insurance – Subsidence claims
Post by: travistane on November 17, 2011, 02:49:34 am
It would be preferable if home insurance policies dealt with vast majority of aspects that need covering when insuring your home.
By taking our insurance, you are protecting your property investment. You should not need to be aware of all the risks.