Multi-Occupancy Building Insurance Regulation

The information on this page is for UK insurance brokers or intermediaries

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What is the Multi-Occupancy Building Insurance (MOBI) Regulation?

On 29 September 2023, the Financial Conduct Authority (FCA) released its Multi-Occupancy Building Insurance Policy Statement PS23/14. The paper outlined the requirements insurers and insurance intermediaries need to put in place relating to multi-occupancy building insurance products. This will ensure we provide good outcomes for residential leaseholders who ultimately bear the cost of the insurance.

A key requirement is increased transparency for leaseholders and the introduction of new policy disclosure requirements.

The FCA have also made clear that they expect firms to ensure commission based on percentage rates are consistent with providing fair value to leaseholders. Intermediaries should not earn more in absolute amounts, unless there is a corresponding increase in benefits provided to leaseholders. 

What action is required for intermediaries?

Where you have any policies in scope of the new MOBI regulations, you will need to ensure you are meeting the Multi-Occupancy Building Insurance requirements by 31 December 2023. You will need to complete the following:

Broker action - Disclosure requirements


Provide the required disclosure information to the customer as soon as possible. Do this after conclusion of the contract, and upon any subsequent renewal*.


Tell the customer to pass a copy of this information on promptly, and in full, to any residential leaseholder of the building. However, this only needs to be provided if the MOBI contract provides cover.


Where a leaseholder contacts you with a query, we expect a resolution within a reasonable timescale**. If a leaseholder contacts RSA direct for support, we will refer to you before responding.

*The table further down this page provides additional information relating to the scope and expectations of the new rules. This includes where RSA provide required information for the new disclosures to pass onto policyholders and leaseholders.

**If you do not have all the information you require from us, please let us know. We can then support the request by providing the information we are responsible for.

Broker action - Remuneration


Notify RSA of any payments made to third parties on MOBI products in view of the new MOBI expectations.


Where there are significant increases in premium, ensure that any commission and other remuneration remains in line with the levels of service and benefit you provide.


In January 2024, we'll be sending you an email containing our Product Governance attestation. This will include the new MOBI requirements. You'll need to complete and return it to us at

Our approach to Product Governance and Remuneration

In RSA’s role as product manufacturer, we have considered interests of policy stakeholders within our latest product governance reviews. Our Target Market Statements will not change as a result of these requirements.

We will be strengthening our reviews going forward, which may result in additional requests for information in the future. To ensure we meet the latest guidance for policy stakeholders, we will review our current commissions structures. We are also strengthening our approach for material increases in net premiums on in-scope products. 

This may require further evidence from you to support percentage-based commissions to confirm commissions remain fair.

What if I have a delegated arrangement with RSA?

Where you have a delegated arrangement with us, we will be in contact separately to discuss the requirements.

New disclosure requirements - scope of changes

A multi-occupancy building is a building that contains 2 or more units for occupancy. This can be residential, commercial, institutional, industrial uses, or a combination.

The following clarifies the type of leaseholder in scope of the new disclosure requirements:

  • Residential leaseholders only, and those that pay a 'service charge' as part of the leasehold agreement, which includes the cost of buildings insurance
  • Sub-tenants, or those on assured short-hold tenancies (ASTs) are not leaseholders under the FCA's rules. As a result, buildings used as shared houses or houses of multiple-occupancy are out of scope. The FCA's focus is on self-contained 'mortgeagable' dwellings

Our approach to multi-occupancy disclosure requirements

We already provide you with all the disclosure information we are responsible for producing as the insurer and product manufacturer across the products in scope.

Where we are the follow manufacturer, it is the broker or lead insurer's responsibility to provide this information.

To help you, the table below summarises where you can find the required information for our products where we are responsible for providing the information:

Information required

Where can I find this information?

Summary of cover

Name of the insurance undertakingPolicy Wording or Summary
Regulatory statusPolicy Wording or Summary
Type of insurancePolicy Wording or Summary
Main risks insuredPolicy Wording or Summary
Summary of excluded risksPolicy Wording or Summary
Total policy sum insured, together with;
  1. in the case of a flat, the amount for which the building containing it is insured under the policy and, if specified in the policy, the amount for which the flat is insured under it; and
  2. in the case of a dwelling other than a flat (for example, an individual house insured under the policy), the amount for which the dwelling is insured under the policy
Policy Schedule
Any excess payable in the event of a claimPolicy Wording or Schedule
The term duration of the policyPolicy Schedule
The policy start and end datesPolicy Schedule
Exclusions where claims cannot be madePolicy Wording or Schedule
Significant features and benefitsPolicy Wording or Summary

Pricing information

Total premium for the policy and include:

A breakdown of the premium at:

  1. in the case of a flat, building level (if specified in the policy) the flat; and
  2. in the case of a dwelling, that is not a flat, at dwelling level

Policy Schedule*
The amount of insurance premium tax payablePolicy Schedule
Where applicable, the amount of any value added taxNot applicable

*Where the policy is in scope of MOBI and the insurance premium is not already broken down at a building level, please contact us for a premium breakdown. Alternatively, for policies insuring multiple similar buildings, you could calculate an estimated breakdown. This could be through allocating a proportion of the buildings premium (or total premium if not broken down to buildings premium) in line with the proportion of sum insured for the individual property, relative to total property sum insured on the policy, such as: Divide the Individual building sum insured value by the overall policy sum insured value and multiply by the overall policy premium.

Get in touch

If you have any concerns regarding the new regulations, please contact your existing RSA contact or email us.