Someones mentioned indemnity insurance – whats that all about?
This used to be quite rare and a bit of a pain, but these days it’se incredibly common and you are likely to hear about it as you buy and sell houses. basically it involves taking out an insurance policy to protect you against problems that have cropped up on the property you are buying. What you sometimes find is that there is a problem with the property you are buying, but it’s a relativelyt obscure legal problem with the deeds – it’s almost certain that no-one is ever going to make it a problem in reality, but to sort it out by going to the other parties involved may be very expensive, very slow, or impossible. In these sort of cases an indemnity policy is ideal – should the unusual problem ever show it’s face then you are covered by the policy. If you’re offered such a policy It’s important to bear in mind what it does and doesn’t cover. For example a policy in respect of missing building regulations will not cover the cost of doing the work properly, but only the cost of following
