My rent and legal insurance was cancelled?

As with any insurance policy you cannot take one out if there is already a problem. Your agent should never cancel the insurance under these circumstances.

There are so many T&C’s in and around “Rent Guarantee Insurance” that even if your existing policy wasn’t cancelled you might find that it doesn’t give you the level of cover you might have expected anyway.

Your agent should have been more vigilant so I guess you could ask them to honour the T&C’s of the ‘cancelled’ policy since it was their mistake. And if they don’t move your other houses to another agent.

Failing that looks like you might have an eviction to deal with and I would use a specialist if it needs to go that far. Best thing to do is reach out to the tenant directly to understand what’s going on

If agent cancelled on your behalf without taking out another or keeping it knowing there were arrears and not acting on it, then it’s on them I am afraid.

If tenant was in arrears why didn’t they invoke the policy?

Either they cover all the rent and legal costs, or claim on their professional indemnity policy ( mandated by law) for negligence. If they won’t, then make a complaint through their complaints procedure, and if not satisfied, complain to their redress scheme ( also mandated by law)

I agree that this is an error by the agent. The sgent’s redress scheme may also be willing to intervene.

Reply to the comment left by Paul Essex at 20/11/2023 – 12:51
Hi Paul
Thank you for your reply.
It’s just common sense. I find it hard to believe a nationwide letting agent would have made this mistake.

Reply to the comment left by JaSam at 20/11/2023 – 13:16Hi JaSam
Thank you for your advice.
Despite them admitting some errors they will not provide the policy benefits, as this would mean evicting the tenant at their cost and paying the outstanding arrears. Something they are not willing to do. They are a national letting agent. This problem must be much bigger than just me.

Incidentally, I will be moving my properties to another letting agent as soon as.

Reply to the comment left by Fed Up Landlord at 20/11/2023 – 14:45
Hi
Thank you for your comments.
I have asked for them to provide the same benefits as if the rent and legal policy was in place, as they cancelled it without making a claim – they have refused point blank.

Reply to the comment left by David at 21/11/2023 – 11:03
Hi David
It was a business decision to change providers. My premiums doubled. So they appear to have got a better deal, while leaving me, and I suspect other landlords, in an uninsurable position.

Why haven’t you issued proceedings against the agent to claim damages to make good your losses? I appreciate that the final amount won’t be known until you have regained possession and re-let. Is it because there is more to the case than you have said so far? They do appear to have been negligent on the facts you have stated.

Reply to the comment left by Michael Crofts at 27/11/2023 – 15:31
Hi Michael
Thank you for your reply.
It took me a while to get through to the final response letter with the letting agents. They admitted making errors, but declined to make amends.
After which I contacted the Financial Ombudsman as it was a faster and cheaper option.They took on my case and I am now waiting to see outcome.