Creating long term peace of mind

Acting in our clients’ best interests, and giving them the confidence of knowing their money is safe, is of paramount importance. That’s why we’ve signed up to the CMP insurance scheme.

CMP (Client Money Protection) is an insurance scheme exclusively for members of ARMA (the Association of Residential Managing Agents) that helps prevent fraud. It is mandatory for letting agents; it safeguards the rental money paid by a tenant to their letting agent to then be given to the landlord.

However, CMP is not yet compulsory for managing agents. Given that the sums held by property managers are significantly larger than those with letting agents, the need for client protection is all the more relevant. Money held by managing agents is made up of clients’ service charges and reserve and sinking funds, These are kept in trust in individual client accounts and would not be insured if theft or misappropriation occurred.

ARMA has been proactively lobbying government on CMP and the need for it in the residential block management sector. ARMA estimates that c.£1.3 billion in unprotected client funds is held by UK managing agents – and that 40 per cent of all managing agents have no CMP in place.
At Aspect Property Management, we’re delighted to provide this added layer of protection and reassurance for our clients.
CMP was launched for ARMA members in the block management sector. ARMA created the policy in partnership with NFU Mutual, and it is underwritten by multinational insurance group Royal Sun Alliance.