Home Insurance For People

With Criminal Convictions

Anyone with a criminal conviction is likely to find it tricky to arrange home insurance cover. It doesn't matter if you have committed only a minor offence, or if the crime has no relevance to your policy, many insurers impose a blanket ban on applicants with unspent convictions.

The ban can seem a little harsh, especially as there are about 8 million people on the government's Offender Index. Of course, insurance companies deal in risk - and we can all understand that a criminal might be a more risky customer than his or her law-abiding neighbour. If you have committed arson, for example, no one would expect an insurer to cover your property. But surely a fine for dropping litter should not blight your chances of a fair deal on home insurance?

If you have a criminal conviction then it would be a good idea to look at specialist home insurance, or non standard home insurance as it can be known.

Some insurers don't ask explicit questions about criminal convictions when you apply for cover, but it's not a good idea to keep quiet about past offences. Failure to disclose the details of any convictions could invalidate your policy, so it would not pay out in the event of a claim. You should also declare any convictions of other members of the household, not just the policy applicant.  So, if you have a lodger or a friend who lives in your house, you will have to do some digging into their past.

What is a spent conviction?

The disclosure rules only apply to so-called unspent convictions. The Rehabilitation of Offenders Act 1974 states that some criminal convictions become spent, or ignored, after a certain rehabilitation period. The period varies according to the sentence, not the crime. If you were given a fine or community service, your conviction is spent after five years. In other words, you would not have to declare it to an insurer. A prison sentence of less than six months is not spent for seven years, rising to ten years for a sentence of between six months and two and a half years. If your crime led to a sentence of two and a half years or more it is never spent, so would always have to be disclosed to an insurance company. You can find out more information on the website of UNLOCK, the National Association of Reformed Offenders.

If your insurer tries to dodge a claim because you failed to disclose a spent conviction, you should cite the Rehabilitation of Offenders Act. If the firms still refuses to budge, contact the Financial Ombudsman Service.

What about bankruptcy?

If you have been declared bankrupt in the past, you could also find it difficult to arrange home insurance. Again, some firms will refuse cover and others will charge higher premiums. It might seem unfair, especially if your bankruptcy was some time ago, but insurers regard bankrupts as a bigger risk.

Where can I get home insurance?

Most mainstream insurers automatically reject applicants with unspent convictions. But a number of specialist firms will offer home insurance to people who have committed an offence or who have a history of bankruptcy. You might have to pay a higher premium, but the insurer should assess each case on its merits, so it might depend on the seriousness of the offence.

Remember that your home insurance should offer all the benefits of a standard policy.  However, cover and exclusions can differ from one insurer to the next, so it is important to shop around until you find the deal that suits you best.