Date: Mon, 19 Jan 2004 11:53:30 +0000
From: GSV Three Minds in a Can 
Newsgroups: uk.finance
Subject: Re: Mortgage & House insurance

Bitstring <400bc294$0$61060$65c69314@mercury.nildram.net>, from the 
wonderful person hg  said
>I'm a bit confused about house insurance. I've heard from one source that
>the banks require the mortgage buyer to have house insurance as well or else
>nothing happens. On the other hand a solicitor has told me that house
>insurance is not required by law. But I assume this only applies when the
>mortgage has been paid off?
>Can anyone shed light on this?

You seem to understand just fine. No-one can require you to insure 
against a loss which is just going to affect you. If the loss affects 
someone else (i.e. the mortgage company which 'owns your house' until 
you pay off the debt) then they can reasonably require you to have cover 
- unless you persuade them you have other assets to cover the payment in 
the event the house burns down (in which case why did you need a 
mortgage in the first place).

-- 
GSV   Three Minds in a Can
Outgoing Msgs are Turing Tested,and indistinguishable from human typing.