House in Spain insured, but no coverage!

Irresponsible risks for millions of homeowners in Spain

Without a doubt, each owner has contracted a home insurance policy and pays a monthly premium. But what almost nobody knows is what conditions must be met to receive compensation in case of damages. To obtain a home insurance policy in Spain, apart from the address and estimated value (sometimes even without a valuation report), not much more information is required, so people are convinced that they are insured. The owner himself is responsible for correctly informing about the state and status of the property, as well as keeping and keeping all necessary documents and permits up to date, and must keep the insurance company informed of any changes. It is for companies that qualify with an open purpose to justify the non-payment of damages, because “nine times out of ten” the documentation is not in order. For IGP it’s time for insured people to be honest and fully informed!

Ronny de Graeve is part of the IGP management team and is a judicial architect. In that capacity, the court summons it to report on cases in which the insurer and the insured cannot come to an agreement. Then it seems that in most cases the owner does not have the required or valid documents and the damage is not paid. According to Mr. De Graeve, these are not exceptions, but possibly millions of houses in Spain that do not really have insurance.

People think too lightly about this, partly due to lack of control. But it is forgotten that there are laws and regulations and that inspections are carried out, certainly in the case of major claims! It’s a Damocles sword, and they certainly don’t want to end up in a lawsuit with a Spanish insurer. The observation that is frequently used if something is not legal “this is how it works in Spain” acquires a completely different meaning if one faces the consequences. Certainly in the event of an accident, where in serious cases even criminal prosecution cannot be excluded.

Certificate of habitability, just as important as deceptive

A Cédula de Habitalidad is one of the documents that the insurer will request in case of damages. Unfortunately, it is mistakenly assumed that having an ID implies the habitability that everything is fine. That is too short due to the turn, and in particular foreign owners do not know or do not know. Some people don’t even know if they have a residence permit.

An ID expires after ten years and can easily be extended via the internet, but that does not mean that the document is valid for ten years! The document may be invalid for several reasons before the end date, for example, due to work done in or inside the home without the required permits, an unapproved technical installation, or by an unauthorized installer (gas, electricity or water ) or an open file (office) in the municipality

By the way, an invalid Cédula not only has potential consequences for insurance, but also for the validity of other licenses and permits, such as rentals (vacations), commercial activities, etc. There is a risk of having to demolish non-legalized buildings and fines. In summary, a seemingly simple document can cause an unpleasant chain reaction.

Make sure you are not tempted by illegal “regulated” licenses and permits, because they have no value and if you find it, it weakens your position and is also a criminal offense!

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