Building Insurance & Ground Rent
In accordance with the terms of the lease, Ashford Borough Council is required to arrange buildings insurance on the leaseholder’s behalf. Leaseholders contribute a fair and reasonable premium to keep the property and communal areas insured on a full reinstatement basis.
In February each year, leaseholders receive a Certificate of Insurance detailing the annual premium and a Summary of Cover document which outlines what is covered under the Policy.
If needing to make an Insurance Claim, Leaseholders are required to contact the Insurance Provider directly, using the contact information on the Summary of Cover document.
It is important to note that the insurance arranged by the Council does not include Contents Insurance – Leaseholders should arrange this themselves if they wish.
Ground Rent is payable for leases granted before 30th June 2022 and is a set fee of £10.00 per annum. This amount is collected in conjunction with the Buildings Insurance every year.
Further information about Building Insurance and Ground Rent is available through the Leaseholder Handbook.
If you have any queries about your Buildings Insurance or Ground Rent, please contact the Leasehold Services team by e-mailing leaseholdandrtb@ashford.gov.uk, or calling 01233 330 415 or 01233 330 681.
Frequently Asked Questions
+ What is building insurance?
+ What is ground rent?
+ How is building insurance & ground rent calculated?
Building Insurance is calculated using the Sum Insured figure of the individual leased property provided by a Leaseholder at the time of Assignment. Leaseholders will be required to complete an ‘Insurance Proposal Form’ which asks for this figure.
Ground Rent Ground Rent is a nominal fee payable by leaseholders to the freeholder. The fee is for the right to occupy the land your property is built on. For Ashford Borough Council leases, Ground Rent is a set fee of £10.00 per annum, payable for leases granted before 30th June 2022. This amount does not increase.
+ How often is building insurance & ground rent due?
If purchasing the property part way through the year through the Right to Buy scheme or on the Open Market, we will instead calculate the apportioned amount due for the number of days remaining in that tax year.
+ Do all leaseholders need to pay towards building insurance & ground rent?
Ground Rent, only those leases granted before 30th June 2022 are required to pay the annual £10.00 fee. If you have purchased an existing leasehold flat from the open market, the original date of the lease will determine whether you will be liable to pay Ground Rent.
+ Who provides the building insurance cover?
+ What is covered under the building insurance?
• Structural damage to walls, roofs, windows, and foundations
• Communal areas like stairwells, lifts, and shared gardens
• Fixtures and fittings such as baths, sinks, and ceramic hobs
• Risks including fire, flood, storm, vandalism, subsidence, and escape of water
This list is not exhaustive, and we encourage Leaseholders to review their ‘Summary of Cover’ document for any items not listed above. It is also important to review the document to understand policy excesses. In some cases, it may be necessary to contact the Buildings Insurance Provider for specific questions relating to items that are covered.
The Summary of Cover document also outlines the list of items not covered under the policy. For those Leaseholders that sub-let, the insurance cover does not include extended accidental damage.
+ Can I choose my own building insurance provider?
+ Does building insurance cover my belongings in the property?
+ How do I make an Insurance Claim?
You will need the policy number, which is listed on both the Certificate of Insurance and Summary of Cover document, these documents are produced every tax year usually in February.
