Non-resident landlords being refused legal expenses on insurance?

Non-resident landlords being refused legal expenses on insurance?

10:21 AM, 21st March 2023, About 3 years ago 10

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Hello, My landlord’s insurance is up for renewal, and while there’s no problem insuring the properties themselves, this year – for the first time ever – our broker is saying no one will include cover for legal expenses because I’m a non-resident landlord.

No problems before and I’ve never made a legal claim.

Have any other non-resident landlords had this issue this year?

Thank you,

Raz


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NewYorkie

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Member Since October 2013 - Comments: 1553 - Articles: 3

11:55 AM, 21st March 2023, About 3 years ago

Never heard this one. The vast majority of LLs are non-resident.

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Judith Wordsworth

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Member Since January 2015 - Comments: 1333

12:50 PM, 21st March 2023, About 3 years ago

Try The Home Insurer. Brilliant and efficient.

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Jason McClean - The Home Insurer

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Member Since June 2014 - Comments: 175 - Articles: 98

15:14 PM, 21st March 2023, About 3 years ago

Hi Raz

Sadly the same is true of the policies we sell – you must be a UK resident for them to be activated.

I believe this is down to any potential claims where litigation will not cross borders and are subject to UK laws. I also understand any payments potentially due would be in Pounds Sterling.

If you have UK residency in law then you should be OK to purchase, but you would need a UK bank account also.

It sounds like your insurer has done a decent job of not selling you something that would be worthless to you.

I hope this helps, but cannot think of a supplier that meets your needs.

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DPT

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Member Since October 2020 - Comments: 1048

11:26 AM, 22nd March 2023, About 3 years ago

I’m confused now. Is this post about being a non-resident in the UK or a non-resident in the let property?

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NewYorkie

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Member Since October 2013 - Comments: 1553 - Articles: 3

11:50 AM, 22nd March 2023, About 3 years ago

Seems like the words should have been ‘non-UK resident’.

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Jason McClean - The Home Insurer

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Member Since June 2014 - Comments: 175 - Articles: 98

12:36 PM, 22nd March 2023, About 3 years ago

Hi Folks

My understanding is if you are a legal UK resident (regardless of where you are in the world), then you can buy the insurance.

Hope this helps.

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G Master

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Member Since September 2022 - Comments: 42

17:40 PM, 22nd March 2023, About 3 years ago

So what happens if the tenant is non resident of UK? Do the UK laws not apply to them?

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Jason McClean - The Home Insurer

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Member Since June 2014 - Comments: 175 - Articles: 98

9:15 AM, 23rd March 2023, About 3 years ago

Hi G Master

The tenant isn’t buying the insurance, so not an issue to insurers.

However, the landlord will have to disclose tenant type when applying for insurance and that may impact on cover.

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Cristian

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Member Since June 2013 - Comments: 31

11:40 AM, 25th March 2023, About 3 years ago

Reply to the comment left by Jason McClean – The Home Insurer at 21/03/2023 – 15:14
Hi Jason
What is a “UK residency in law”?
Do you mean UK passport?

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Chris Bradley

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Member Since December 2019 - Comments: 240

11:41 AM, 25th March 2023, About 3 years ago

Reply to the comment left by Jason McClean – The Home Insurer at 22/03/2023 – 12:36
To be a UK resident you have to spend at least six months of the year in the UK.
A non UK resident potentially pays tax in the UK and the country they live in, depending on if there is a dual taxation agreement in place.
A tenant if a non UK resident may have to deduct tax from their rental payment and pay it direct to the HMRC unless the property has a UK agent or the landlord has applied for gross rental.
It’s not as simple as saying “I am a UK resident and living else where which your post implies”

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