Hi,

I have passed your query on to an expert and hope to have a reply for you soon. In the meantime, you can head to our insurance and warranties section (https://www.self-build.co.uk/insurance-tax-warranties), which contains useful guidance on insuring a self-build project.

Andrew (Build It’s digital assistant editor)

This type of situation affects many people when they’ve purchased a property with the intention to knock down and rebuild. At the outset the owner is not sure if they will get planning for a replacement dwelling or not but still has a substantial asset at risk until the planning decision has been made. Most insurers look at it as a moral risk, but so long as you can evidence the application for planning permission has been made then a specialist insurer like Protek can normally provide the cover you are looking for.

Simon Middleton (Director at Protek Self-Build Insurance)

If one buys another property, for whatever reason, does it not class as a ‘Second Home’ for the time it belongs to the buyer and until it is actually demolished? Telling an insurer you intend to knock it down, does not diminish the value of the property on the day it is insured. The owner might just change their mind for any number of reasons, decide to live in the house or even sell it on.
Saying what one ‘intends’ to do to a property should have no bearing on insuring what is there in fact.