Some properties have an obligation (called Chancel Repair) to contribute to the maintenance of a local church. This obligation may be formally recorded in the title documents or may have been revealed as the result of a Chancel Search having been undertaken. A change in Law in October 2013 meant that future owners of a property where there was no specific mention in the title would not be liable to contribute unless the church had registered their right against the Land Registry records. Cover continues to be required for those properties with a recorded liability, for existing owners and usually in the case of a re-mortgage.
Many people are advised to take out cover in other circumstances as a precautionary measure.
In what circumstances is the cover needed?
Where there is
- Mention of the liability in the title to a property,
- A church has registered a right against a property, or
- There is no change of ownership and a liability may exist.
Risks Covered: Loss, costs and expenses incurred which are directly attributable to a repair liability in respect of a church chancel.