Insurance of real estate

Taking into account the high rate of Crimea in the country, unsatisfactory work of municipal services, bad condition of old fund and disorder of the neighbors, not surprisingly that last time programs of insurance of property are popular, especially high class. How not to be mistaken while making contract with insurance company and what gives insurance policy?

Insurance policy of real estate

Insurance policy of right of the property foresees:

1. Financial guaranty of returning money which were invested in property. Size of the financial guarantee within the limits of market cost of the flat;

2. Full juridical accompaniment for the case of presenting of claims, contesting rights on the flat. Insured (buyer of the flat) has a right do not take part in regulating of discussions, trust it to the insurer. Expenditures for juridical accompaniment perform insurance company.

3. Protection from any claims which contest right of the property.

Insurance of the right of the property protects from any unknown “defect” in the right of the property for accommodation. It means that any assertion of a right of third persons, which appeared and left after buying the property, come into insurance covering.
While pronouncing decision by court as a result of which owner loses the right of the property, insurance company pays out insurance compensation. How it is known property questions could be solving by years. But even if by the moment of pronouncing the decision by court, contract of insurance finishes, then insurance company continues to account according to this contract till court’s decision comes into force.

Before making a contract of insurance, insurance company does estimation of insurance risk which includes the analysis about legality of documents, learning the history of passing the rights, checking owners and users and also the estimation of possibility of calming to insurance.

Agreement of insurance the right of the property could be made on the term from 6 months to 10 years. Time-limit of claiming is 10 years, that is why it is thoroughly recommended to conduct the contract of insurance for this term.
When and what should be insured?

You decided to buy an accommodation for you. Just now, before its buying there is a sense to go to insurance company: buying property, especially on the secondary market is always connecting with the risk.

Program of title-insurance provides insurance defense from the loosing the right of property for real estate and also declare the deal of purchasing and selling invalid. Percentage rate from the insurance cost of this kind is between from 0.8 to 1.5%.
The cause of loosing the right of property could be: illegality of previous deals (privatization, selling, inheritance and so on), cheating, breaking rights of minors or hires and many others. If you buy the flat in the house under construction, buyer also could be the victim of cheaters or circumstances. In this case there is a special program of insurance of risks of share holding. Taking into account small cost of insurance, the level of protectability which it presents, growing. Rate of tariff in this case is about 1,65% from the cost of the flat.

Also there is an opportunity to insure the building-assembly works. It is actual for those who builds house by exclusive design project or doing re-planning of his flat or cottage. This kind of insurance protects by occurring mistakes in projecting. Percentage rate is just 0.26%.

For secondary property market is very actual insurance from accidents of heating, water-supplying and sewerage systems (often they are not repaired for years), from fire (even if fire will be put out, damage from the putting out is gigantic).

There are programs of insurance connecting with protection of finishing and property from penetrating water from the neighboring accommodations, flats as it is not only you who will do repairing but also your new neighbors, who want to re-planning their flat could damage yours.

For what you should pay attention while conducting the agreement?

Choosing whom to trust insurance of your property, you should not lay upon the company which does not enjoy your confidence: anxious sign which should put on informed person guard is the low percentage rate.

Strong company gives its expert who does not afraid of complicated questions: he will answer for any questions of the client and help choose appropriate program of insurance. Very often client have an opportunity to choose the risk of insurance by his own.
Pay attention for this how long this company is working. Longer it works on the insurance market more reliable it is, and its staff is more qualified. Put on client guard should also small print of contract, especially if it is offer to sign it immediately. For forming the contract of title insurance even the most reliable and experience company need some days for checking all details from which risk of loosing property depends. In some cases if it is very high, serious companies could refuse from insuring it and recommend you to refuse from it.

More time spend for detail studying of insurance contract’s conditions then easier and quicker you will receive money of coming insurance occasion. Except this, it is necessary to ask insurer what must be your actions by coming insurance occasion.