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Level of Professional Indemnity Insurance for PCC


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Hi all,

 

I have a question about the level of Professional Indemnity Insurance required for a PCC.

 

We are in the final stages of a house renovation and connected barn conversion. We used savings and borrowed from family to fund this.

 

We have an existing residential mortgage on the property with Barclays.

 

To pay people back and to do things like the garden, we have an additional borrowing application in with Barclays. Valuation was fine until they came back and said that as it was a conversion, we needed a new build warranty or PCC and they would not accept retrospective ones.

 

Our only option was a PCC from our architect as they have been involved from the start and inspected the build regularly. After speaking to their Professional Indemnity Insurers they agreed (for a fee) and provided us with a PCC that lists £500k of Professional Indemnity Insurance cover.

 

We have the value of our project down as about £700k for the additional borrowing application, so the Surveyor has now said that the level of Professional Indemnity Insurance has to cover this. I believe they are misunderstanding a PCC in that the level of cover that the architect needs is to cover their liabilities, not the building as a whole. i.e latent defects are not covered.

 

So my question for those of you with a PCC, does the level of Professional Indemnity Insurance cover the value of your property?

 

Thanks in advance!

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Possible to go back to the architect, explain the stuation, and ask very politely if there's any way they could increase it to the higher figure?

 

Having worked in financial services industry most of my life, I have no respect for their box-ticking nonsense - but that's probably the simplest and fastest way.

 

Funny how financial services (a mortgage) requires more financial services (insurance)? No?

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21 hours ago, Alan Ambrose said:

Possible to go back to the architect, explain the stuation, and ask very politely if there's any way they could increase it to the higher figure?

 

Having worked in financial services industry most of my life, I have no respect for their box-ticking nonsense - but that's probably the simplest and fastest way.

 

Funny how financial services (a mortgage) requires more financial services (insurance)? No?

That will be what I do if I can't convince them otherwise. Was just interested to see what is normal for PCCs.

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