No reason why you cant insure the property. The planning permission issue is a civil matter, nothing to do with insurance. They couldn't deny the claim on that basis.
The insurance company will have no interest in whether the property is with or without planning permission. It has no relevance to them.
As always on AAM the advice is to get independent professional advice as suggested by claimsman:Askaboutmoney has developed a reputation for civilised and informed discussion of financial topics in a sponsorship-free and advertising-free environment. It should be possible to discuss contentious matters without attacking the person expressing the opinion.
The OP should speak to their brokers/insurers who will professionally advise him/her of the position.
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