BCIS warns insurers about underinsuring flats

13 February 2012 |By insurancetimes.co.uk Newsdesk 
Policyholders could be exposed to “significant financial loss”

The Building Cost Information Service (BCIS) has warned insurers that buildings insurance arranged for individual flats carries a significant risk of underinsurance.
Buildings insurance is commonly taken out on the whole block by the freeholder of the property and the premium split between the various leaseholders.

“In a total loss situation, policyholders may receive a payout far short of the market value of their flat but they would still need to continue to pay their mortgage.”
OCASO etc are our guests at the forthcoming April ILA meeting.

Leaseholder fact of the week

 Since the start of the PFI 2 contract 926 Final accounts have been issued to leaseholders as part of the Major Works program. Of these 326 have been challenged, about 35%, with an average charge of nearly £7,000 and a total charge of £1.4m. 285 of these challenges have been resolved.
Of these resolved cases 207 have received some form of adjustment to their account, with the majority of these being adjustments of less than £1000 (120 cases).

OCASA Building Insurance – comments on the queries from ILA meeting

BUILDING INSURANCE QUERIES _ILA MEETING_11Jan12 and response from JLTAlison Goodwin from JLT [Jardine Lloyd Thompson Public Sector Risks] who admin OCASA Building Insurance have sent us comments on the queries submitted for the January ILA meeting. The ILA queries and her comments are in the attached document.

ILA meet – Wed 8 Feb 2012 w/ Council Boss

Islington Leaseholders Meeting

on

Wednesday 8 Feb 2012

in

Islington Town Hall Chambers

at

7 – 9pm

Hosting the meeting:- Dr Brian Potter

Guest Speakers:- Cllr Catherine West (Leader of the Council) and Cllr James Murray (Chair of Housing) (Email confirmation confirmed to Dr Potter that both Councillors will be attending at 7.30pm)

Please view our website
Website www.ila.org.uk
Twitter @ilaorguk
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Please impress upon any other leaseholder’s that you know that it is in their interest to attend these meetings regularly…

Dr B. S. Potter Chairman ILA

Leaseholders left out of important meeting

“Leaseholders left out from this very important meeting” The GLA Planning & Housing Committee (who were investigating this issue) person responsible is Steve O’Connell and the “invited guests” to the Meeting of 23rd January 2012 were: 1) Martin Green, Head of Home Ownership & Tenant Management Initiatives, Southwark Council 2) Randall Bevis, Head of Home Ownership, Cith West Homes 3) Matthew Saye, Assistant Director – Home Ownership Services, One Housing Group 4) David Hewett, former Chief Executive, Association of Residential Managing Agents 5) Bob Suvan, Managing Director, BlocNet – BlocNet is a managing agent: Bob Suvan spoke at the last CARL AGM (see attached) where he gave a huge amount of how Leaseholders are being ripped off. The Greater London Assembly [GLA] is undertaking a Review of Leaseholder Service Charges. We have requested involvement and early notice of any public meetings, and have not received formal acknowledgement so far. At very short notice, on the day of the meeting, we were informed that a public meeting to discuss the review was taking place. The meeting was held on Monday the 23rd of January 2012, at 2.00 p.m, and only one representative for the ILA was able to be present in the public gallery. A copy of the list of issues submitted by a director of the ILA is attached. One example, relevant to points 1,2,3, 4 and 5 of the list, is that, during the major works programs, key individuals involved in running the various contracts are moved to other duties at key stages. New staff are brought in, without any continuity. This disrupts and undermines proper contract management, leads to inconsistency in client decision making, and leaves the contractor in charge of the works and the costs. The contractors in turn give insufficient supervision and instruction. All of this can lead to defects and higher costs. As there was insufficient notice of this public meeting, leaseholders would like an opportunity to put their case at a further meeting, to have a dialogue with the politicians in charge of the review directly. Please view the two attachments and link for further information about the issues discussed at the meeting on the 23rd of January: GLA Jan 12 Meeting Papers.pdf HC GLA list.docx A copy of the list of issues submitted by a director of the ILA. Please view the link. The meeting was webcast live and a recording was posted on the website. A full transcript of the meeting will also be available on the Committee’s web page here: http://www.london.gov.uk/who-runs-london/the-london-assembly/assembly_investigation/service-charges All leaseholder’s who agree please send via email a request to “Paul Watling” paul.watling@london.gov.uk and the Chair of the Review, Cllr. Steve O’Connell, steve.o’connell@london.gov.uk, stating that because of the insufficient notice, leaseholders request that a further meeting is held, and in the meantime, would request that we are told how leaseholders views will be taken into account. The summary questions asked at the GLA meeting were insufficient. Please copy in Dr Brian Potter email address “Brian Potter” , and Mary Morris email address “M Morris” , thank you. Dr B.S. Potter Chairman ILA