We do this because it’s a condition of your mortgage agreement that you have a valid buildings insurance policy in place at all times. We lend you a sum of money, secured against an asset (your property), so we need to know that that asset is protected.

If you don’t have a valid buildings insurance policy, you will be in breach of the conditions of your mortgage agreement with us.

If we can’t confirm that the right cover is in place, we will manage the risk by taking out a “Lender’s Interest Only” policy at your expense. Please note, this insurance only covers our risk: it doesn’t insure you. If you provide us with a copy of a valid insurance schedule in your name we will refund up to a maximum of 24 months’ worth of the premiums we have charged you for this insurance.

If your property is leasehold, it may be the freeholder’s responsibility to insure the building. If you’re unable to get a copy of the insurance schedule from the freeholder, you can either send us:

• A copy of the relevant clause in the lease that confirms it’s freeholder responsibility to insure the building; or
• A letter from the freeholder confirming that they are required to insure the building.