Do you own a property? Although it is said that a property is the best form of investment that you cannot lose, it is not true. Fire, natural disasters, often floods- there are many possibilities of losing house and they do not limit only to those incidents in newspaper.
Thus it is wise to think of right insurance of the household not to end up without empty hands.
Uninsurable property in flooding zone
In relation to recent floods, insurance of the property was very frequent topic. Water authorities and meteorologists warn that the floods cases will be even more often in the future and that it will not be an event which repeats every ten years.
Due to the floods many uninsurable properties arose- risk that the property will be flooded is for the insuring companies high and it almost borders on certainty.
Insurance of household or property?
Do you want to take up on insurance? Be aware if you insure household or property. These insurances differ in its coverage. When you insure household, you insure its common amenities- electric appliances, carpets, electronic devices and other. It is also possible to insure pets. This insurance covers damage or theft of these items.
On the other side there is an insurance of property which covers damages on the property as a whole. For example damage on roof, walls, ceiling, fences, halls, attics and other parts of the property. This insurance covers common damage as for example nature disaster. It is also possible to insure against a theft.
When the insurance is necessary
Property insurance is to your own advantage. In some cases it is obligatory though. For example if you cover the purchase of household with a loan, you might be obliged to insure it by bank.
Property is usually insured not for its market price but on the price that would be necessary to insure the damaged property again. Therefore it is not a price that the house would be sold for, but a price for material and work for building a new house.
