| HOUSEHOLDERS UNDER THREAT |
| Monday, 09 April 2007 | |
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Following the harassment of residents by Finance Companies (Comptons being the most unpleasant) pressing residents to change their insurance companies, John Pugh has criticised the big insurance companies for adding to residents woes. The trick being played is simple says the MP "Many houses in Southport still have a ground landlord who was originally the feudal lord who sold the land on a 999 year old lease. Collecting ground rent is not worth doing now, so the ground landlords who are now Finance Companies try to find other ways of making money. "One trick they use is forcing householders to switch their property insurance. The Finance Company then gets a fat premium from the insurance companies and the householder often ends up paying more . "This was stopped by the Commonhold and Leasehold Act 2002. which stated that as long as the property was insured with a reputable company no-one could be forced to switch. "However it did rely on the householder putting the Finance Companies in the picture when they come knocking. "If residents don't respond, these characters move in for the kill and send demanding letters with the underlying threat of court action. "I think it's outrageous behaviour and naked barrow boy profiteering but the truly shocking thing is that the insurance companies who are funding this operation are some of the biggest names going such as Zurich International. They act like Pontius Pilate when we tackle them referring us back to the Finance Companies that put the pressure on. "However I am not letting them off the hook. I have put down parliamentary questions about the ethical standards of insurance companies and intend to table a parliamentary motion naming and shaming the Insurance companies involved. The fight goes on ! " |