Is there a legal requirement to have buildings insurance?

Key points:

• There’s no UK law that makes buildings insurance compulsory.
• Most mortgage lenders insist on cover from exchange of contracts.
• Outright owners can skip it, but would face the full rebuild cost if disaster strikes.
• Leasehold flats are usually covered by a block policy arranged by the freeholder or management company.
• Buildings cover protects you from potentially six‑figure repair bills.

Not by law. However, most mortgage lenders require you to have buildings insurance in place from exchange of contracts to protect their loan.

Cash‑buyers & outright owners: you’re free to go uninsured, but you’d have to fund any rebuild costs yourself.

Leasehold flats: your freeholder or management company will normally arrange a block policy and recharge you.

For details of what a policy typically includes, see our guide What does buildings insurance cover?.

In short, while not legally mandatory, buildings insurance is strongly recommended to avoid potentially six‑figure repair bills.