Switching the Buildings Insurance After a Right to Manage Handover
The acquisition date is fixed, and the buildings cover has to move with it. A practical look at sequencing the switch without leaving a gap.
Right to Manage · 16 September 2026 · 6 min read
The riskiest moment in a Right to Manage handover is the changeover itself. The freeholder's policy may be arranged to fall away, and the RTM company's policy has to pick up from the acquisition date. A few days of overlap is a planning issue; a few days of gap is a serious one.
Work Backwards From the Acquisition Date
The acquisition date is fixed by the statutory notice process, so it is a hard deadline. Working backwards, RTM directors typically:
- Six to eight weeks out — request the existing schedule and the claims history from the freeholder or managing agent
- Four to six weeks out — gather the building information insurers will ask for and check the rebuild figure
- Two to four weeks out — make the enquiry so a specialist broker has time to approach the market
- At the acquisition date — cover incepts in the RTM company's name
Blocks are underwritten individually rather than rated automatically, so the market needs time.
What Holds Things Up
Missing claims history. The most common cause of delay. Insurers usually want three to five years, and previous agents can be slow.
No external wall assessment. For buildings where this is relevant, its absence narrows the market considerably.
An unreviewed rebuild figure. An index-linked number from an old assessment often needs revisiting.
Unclear occupancy. Insurers want to know how each flat is used, including any that are vacant or short-let.
Company formation paperwork. The RTM company needs to exist and be properly constituted before the policy can be in its name.
Notifying the Freeholder
The freeholder retains an interest in the building and is usually noted on the new policy. Confirming in writing that cover is in place from the acquisition date is good practice and avoids the freeholder arranging duplicate cover.
Don't Forget the Directors
RTM directors are volunteers making decisions about a building other people live in. Directors' and officers' liability cover is a common addition to an RTM policy for that reason.
After the Switch
- Circulate the schedule to all leaseholders
- Build the premium into the service charge budget
- Diarise the renewal at least two months ahead
- Record any change of occupancy or use during the year
Further Reading
RTM company insurance sets out the responsibilities in more depth, and who insures a block of flats explains how the different management structures compare.
Making an Enquiry
Landlord Quote is an FCA authorised lead generation business. We do not arrange cover, give advice or quote premiums. Where your enquiry matches, your details are passed to an FCA regulated broker who works with RTM companies and will contact you directly.
Beyond Leads Ltd T/A Landlord Quote is an FCA authorised lead generation business. We do not give advice, arrange cover or quote premiums. If your enquiry is matched, your details are shared with an FCA regulated broker who specialises in this sector.
Beyond Leads Ltd T/A Landlord Quote (FCA FRN 940006) is an FCA authorised lead generation business. We do not provide insurance advice, recommend policies, arrange cover or quote premiums. This page is general information only. If your enquiry is matched, your details are shared with an FCA authorised specialist broker who will discuss cover and pricing with you directly.