Er, You Know That House You Just Bought?

Well it's got a couple of cracks.
http://www.bbc.co.uk/news/uk-england-hampshire-26661572

That will have to be knocked down, even the house adjoining is unsafe.

The lorry driver was taken to hospital as a precaution, i.e. he can't crash anymore lorries while he's there.

Thank goodness no one was hurt,that's personal service you can do without.

If the person who had bought it had exchanged contracts, I wonder what the legal position is. Would the insurance company have to pay out to them as well for all the extra expense it would involve?

I would have thought that was down to the trucks insurance.
I am sure that at one time Royal Mail vehicles never used to have insurance, because they had so many vehicles. Instead they came under a massive bond that claims were paid out of.

Glad i'm not the insurance broker,it would be a legal nightmare

The driver is always responsible and has to ensure insurance or a bond is in place to cover any cost that said driver can't afford to pay.
That's why the law insists on drivers having third party insurance, because it is the driver that gets sued and any legal defence can bankrupt the average person leaving the injured party uncompensated.
Insurance companies tend to mask the real process by dealing amongst themselves and eliminating the need to personally sue the other driver.

My point was , though, whether, if contracts had been exchanged, the expenses of the buyer would be covered in the mess that ensued. Knowing how some insurance companies operate, they might try & wiggle out of it

well the law as I understand i it, and I need to be carefull as your exchange system is different to ours. but in legal terms, once the a contract is executed by both parties and has been exchanged (even verbally) then both parties have equity in the property, in order for the property to settle (final exchange of monies) the property must be be in the same condition as when the purchaser viewed the property less normal wear and tear, if the vendor cannot provide the property in the condition it was seen - the purchaser may still have to settle in monetary terms - but would sue the vendor for breach of contract. I have been close to one of these where an aircraft flew into the house, it was sold but not settled. I always advise my clients to take out house insurance they day they sign the contract, most insurance companies will do a cover note for the 30 - 90 contract period. here when you say yes to buying a house you pay 10% up front, you have a three day cooling off period, after that neither party can pull out, we dont have chains. sign then settle within 30 - 90 days