Aviva has warned property owners that they risk incurring large legal bills if they do not have adequate cover to deal with legal bills as a result of squatters occupying their premises.

Mike Colmans, underwriting manager for Aviva, said: “It is estimated that there could be as many as 20,000 squatters in the UK. Although squatting is more prevalent in domestic properties, landlords and commercial property owners with empty buildings are equally at risk.

“It is imperative that adequate measures are put in place to prevent squatters from entering and taking ownership, as it can be notoriously difficult to remove squatters. Landlords obtaining interim possession orders (IPO) from the courts to remove squatters can take time as well as being significantly costly. In addition, by the time an IPO has been issued, squatters might have already moved on.”

Colmans highlights a particular case, when an insured purchased a new site for development as a new outlet, but before building work could commence squatters occupied the site. A court order was obtained to remove the squatters, but when they refused to leave, a warrant of possession was obtained and a bailiff had to attend the eviction. The legal bill was in excess of £5,500.