Princes Risborough, United Kingdom (PressExposure) May 28, 2009 -- In March Neil Cook an Insurance broker who is a highly respected broker working for Kay International contributed to an article in The Observer on the 1st March entitled âNow angry leaseholders kick back at the brokersâ
The summary of the article is that owners of leasehold flats are paying up to double the market rate for buildings insurance because brokers are paying "kickbacks" to the block management property agents who manage their homes.
Some insurance brokers are choosing the insurer that pays the most commission, instead of the company that offers the best value - and then sharing this commission with the managing agent.
This issue featured on a ten minute report on BBC Radio 4 You and Yours programme on Thursday 21st May. Neil Cook was contacted for background information and although he did not appear that day it looks like there will be a follow up as so many leaseholders have been concerned about the problem
Neil Cook saidâ I have been approached by an increasing numbers of leaseholders over the last few months who are being charged significantly above the going rate.I see a lot of inflated premiums for blocks of flats where it just doesn't add up, and there is no way the broker has sought the best deal. Sometimes it is as much as double but, typically, the premium is about 30% above what you would expect to pay."
Philip Suter of jml Insurance who act as introduction agents for Kay International at http://www.jml-insurance.co.uk said âWe are very pleased that this subject is now being brought to the attention of leaseholders who should thoroughly examine the accounts that they have to pay annually for insurance and service for their flats.â