The property insurance is made exclusively on voluntary basis. As the insurance is made voluntarily, the amount of insurance is voluntary and has to be realistically determined. The amount of eventual compensation from the contract insurance cannot be bigger than the actual damage to the property. The amount of compensation cannot be greater than the specified amount on the policy (sum insured) even if the actual damage is in excess of that amount.
Also, the rights on the agreed insurance policy can have only one party, and that is usually the contract signing party that had interest to preserve the property.
The property insured objects can be various. However, we divide them into several categories.
- Construction objects
By this category we imply family, house, auxiliary facilities, economic facilities, weekend houses, as well as floor and wall coverings, glass doors and windows, built-in installation, boilers and stoves, boilers and sanitary facilities
- Facilities under construction and facilities and equipment installation
This category implies all construction materials, equipment and all works in the construction and building machinery, equipment and installations
- Household items
In this category we can add money and valuables of the household, art objects, jewelry etc.
- Assets of legal entities and entrepreneurs
By this we imply buildings, plant, equipment, supplies and money
When it comes to the insurance of your property, the insurance agencies usually cover the standard risks. By standard risks we imply accidents made by fire, lightning, explosion, storm, hail, flood, water or sewerage pipes, mudslides, landslides, avalanches, burglary and robbery, public events and demonstrations.
Insurance companies offer a variety of combinations and levels of cover for these risks.
The type of insurance that is most common is the combined insurance of household items. That insurance provides compensation for damage caused by destruction or damage to the apartment, as well as movable property and valuables that are found in the insured property.
How to act in the case of the damage of insured property
There are few conditions that need to be done in order to receive the insured amount. Naturally, this mainly depends on the contract circumstances, but some of the general conditions are, for starters, that damage made upon the property has been done during the period, for which you have coverage at the specific policy. Of course, there is a rational basic that you have done everything in your power to protect your property and you have not in any way or by any means caused the harm to your property. Naturally, in the case of eventual property damage, you will notify the authority about the damage, and this step is also one of the conditions for receiving the insured amount. Later on, your task is to report the damage to the insurance company as soon as possible, but no later than anticipated conditions of insurance you would also have to provide certain evidence of the damage suffered
Compensation for the damage varies consider how much premium have you paid and what risks are covered by insurance contract.