If my buyers have to get insurance on exchange, does this mean I can cancel the buildings insurance on my current property?

No, we would strongly advise against this. When exchange of contracts happens, you're in a legally binding contract to purchase/sell the house. If your buyer pulls out, you can therefore sue them. However, that would involve solicitors. Now imagine your house burned down in the period between exchange and completion – you could be left with nowhere to live, which does pose a risk if you've already cancelled your policy. If nothing else, you'll have a legal battle on your hands.

It might make things more complicated for you too if you have a joint buildings and contents policy, because you'd still need to insure your contents at the current address. This may mean you'd have to buy another policy for your contents in the interim period, then change it to the new address upon completion. This could then incur a mid-term adjustment fee depending on the provider. It would also mean that you'll then have a separate buildings policy for the property you're purchasing.

The safest thing to do is to keep the existing buildings and contents policy in force on your current property until completion, but to buy a separate buildings policy (and contents too, if you want to avoid any future mid-term adjustment fees for adding this cover) if you're buying a new property too.

A handy tip is to get a quote for buildings insurance and a quote for combined building and contents insurance in advance of exchange. That way, you'll be able to see that any contents element of the policy won't be unduly expensive from that provider when it's time to complete.

Do I have to get my buildings insurance from my mortgage provider?

Not at all. Some mortgage lenders do include buildings insurance as part of the mortgage package. But if they don't and they try to sell you a policy, you're under no obligation to take it. Note that your mortgage provider can reject your choice of buildings insurance if they don't feel it offers adequate cover, but you're still free to choose your own alternative. If you're using a financial advisor, they may also recommend or help find an insurance provider for you, but again you're under no obligation to buy the policy they recommend.

Have I always been able to buy my buildings insurance anywhere?

No, it used to be that you did have to buy your buildings insurance with your mortgage. But that changed after the Office of Fair Trading ruled that it was unfair, and that customers should be able to buy their insurance wherever they liked.

But despite the ruling, 1.6 million people have their buildings insurance with their mortgage provider because they thought they had to.

Not knowing your rights could cost you money. And it isn't hard to find an alternative insurance provider. Why not read our guide to switching home insurance partners?

You could save an average of £95 on your buildings and contents insurance – that's enough for several celebratory takeaways when you move in. We also found that a fortunate 10% of our customers found savings of £298 when they compared with us*.

*Based on Online independent research by Consumer Intelligence during November 2018. 50% of customers could save up to £95 and 10% could save up to £298 on their home insurance premium.