Sunday, 28 December 2014

Principality Building Society Conveyancing Panel Update - Building Insurance Changes

In line with new CML Handbook changes Principality Building Society have updated their specific requirements relating to building insurance. As a conveyancer on the Principality Building Society Conveyancing panel one needs to check the following: 

You should also make reasonable enquiries to satisfy yourself that:
1. the insurance is in the joint names of us and the borrowers unless the property is leasehold and the lease requires the insurance to be in the landlord’s name, in which case our interest should be noted on the insurance policy.
2. The amount of building insurance cover is at least the amount referred to in the mortgage offer. If the property is part of a larger building and there is a common insurance policy, the total sum insured for the building must be not less than the total number of flats multiplied by the amount set out in the mortgage offer for the property.
3. The building insurance cover is index linked.
4. The following risks are covered -
• Fire, explosion, lightning or earthquake
• Subsidence, heave or landslip 
• Storm and flood
• Malicious damage
• Theft or attempted theft
• Water leaking from tanks or pipes
• Falling trees or branches
• Television, radio-signal or satellite apparatus breaking or collapsing
• Riot
• Impact by aircraft, other flying devices, or any vehicle or animal
• Oil leaking from heating systems.

Submission of the Certificate of Title will be taken as confirmation that you have satisfied yourself in respect of all aspects referred to in CML Handbook Para 6.14.1 including the points above.

No comments:

Post a comment