Higher rebuild costs
How Listed Property Protection can help
One of the major reasons that people find it harder to insure listed properties is due to the higher rebuild costs.
Here at Listed Property Protection, we make it our duty to ensure that our clients are fully aware of the implications that arise when a property is found to be under insured. As long as an Independent professional valuation has been carried out within the last 3 years by a qualified RICS accredited surveyor our policies will provide our clients with cover for up to 150% of the rebuild figure for the property that has been provided.
The 150% uplift will include any increase in costs due to having to rebuild the property using period materials and methods to ensure that the property is brought back to its original beauty taking into account the instructions of any conservation officers.
Many standard home insurance policies will include an average clause. This clause is applied by insurance companies in the event of a claim where the amount that it will cost to repair/rebuild the property is greater than what was stated when the insurance policy was taken out or renewed (whichever is the most recent). If this was to happen, the insurance companies will work out how much the property is underinsured by and could reduce the amount that they will pay out by that much, putting the onerous on the homeowner to pay for the rest of the rebuild themselves. For example, if the property was underinsured by 40% the insurance company are in their rights to reduce the amount that they pay out by 40%.
However, policies provided by us do not incorporate the average clause as we understand that these properties cannot be subject to the same terms and conditions that a standard property is, so rather than penalising our clients, we do everything we can to help them through the process, by incorporating benefits such as the extended replacement cost noted above.