Complex Insurance
Cover is offered by Avraam Insurance Agents
What you are likely to be asked to obtain a quote for your complex.
1) Have you had any damage, claim or injury the last 6 years:
2) Number of the apartments:
3) Year of the construction:
4) Address of the Complex:
5) Name of Complex:
6) Number of the floors:
7) Outside pool value if there is any :
8) Frame/wall/roof material Brick / Plaster/ Tiles – concrete construction with tiled roof:
9) Building value ( including communal areas of the buildings, units, grounds including pool, parking Space) in Euro’s
10) Machinery Value (lift, machinery of the pool, and other machinery) in Euro’s
11) Value of items in the open ( solar panels, photovoltaics installations, antennas) in Euro’s
12) Do you currently hold a public liability and fire policy, or have you ever held such policy in the past ?
13) If yes, provide more details ( Name of Insurance Company)
It is vital that the above information is correct, otherwise you could end up being over or under-insured. At Avraam Insurance Agents we value our reputation and want you to have the right cover. We will confirm these details with you because we offer a professional service and want you to have the cover you need. Please check the information you give us is accurate, because in case of the event of a claim we want to ensure our clients have peace of mind that they are fully covered.
Complex Insurance Quote Form Click Here
What is the definition of a Community Building?
According to the Legislation:
- All buildings consisting of at least 5 units are common buildings (unit means part of the Community building, which may be suitable and comfortable for occupation (as complete, separate, and independent) for any purpose.
- Buildings consisting of two (2) to four (4) units may, at the discretion of the Director, be deemed to be communities at the request of the concerned parties.
- Community buildings can also be considered as separate buildings located on the same property even if they are not horizontally separated.
Who is responsible for the insurance of the Community Building?
According to the Law, the insurance is compulsory, and the Management Committee is responsible for it. The Committee must ensure that the Community building is insured against fire, thunder lightning and earthquake, to a licensed insurer for the amount which the Management Committee considers to be its replacement value. For other risks, insurance is compulsory only if it is decided by the 50% ownership rate.
Cyprus Law
http://www.cylaw.org/nomoi/enop/ind/0_224/section-sc843bee89-e758-c08e-14ce-8cc6c3601b11.html (In Greek)
https://cypruscommitteesolutions.com/wp-content/uploads/2023/11/The-Immoveable-Property-Law.pdf (The Immoveable Property Law in English) Cyprus Committee Solutions can in no way be held responsible for the content of this version of the Law. Please refer to the Cyprus Government or your legal representative to ensure you receive the correct advice.
Jointly-Owned Buildings
https://portal.dls.moi.gov.cy/koinoktites-oikodomes-2/ (In Greek)
Risk of sum insured.
Impact of Covid-19, Ukraine War for Under-Insured
The cost to build today is increment than last year. The increment is between 20% – 30% depends on the materials some is more than 30% (70%).
Building
The insurance company cover the cost to rebuild the building.
***Cost To rebuild today in Cyprus ***
– approximately the average cost per square meter for cover areas is €1200 -1500
– approximately the average cost per square meter for uncover areas is €500 – 800
**Sum insured For Building insurance**
This is where the amount your policy covers you for is based on the estimated cost of rebuilding your home from scratch. It’s not the same as your home’s market value, which might be higher or lower.
The cost of rebuilding your home will increase over the years, so index-linked policies are best. This is because they update the sum insured to reflect the changing cost of rebuilding.
Complex Insurance Quote Form Click Here
Under-Insured
What Happens When Something Is Under-Insured?
When you take out an insurance policy; you are required to explain the value of the property (or its contents) that you want to insure. This value is known as “the sum insured”. In some cases, there will be a discrepancy between the value of the property and the value of the sum insured. If the value of the property is higher than the sum insured – this is known as “under-insurance”. Why? Because in the event of a total loss, the sum insured will not pay for the full value of the claim.
What Remedies Do Insurers Have for Under-Insurance?
At the time that any claim is made for property under an insurance contract, whether this is for a partial value of the whole sum insured or the entire value, an insurer may assess the value of that property as part of the claims processing routine.
If the insurer discovers that the claimant is “under-insured” they may, if there is a clause in the contract, “apply average” to the policy.
What does “apply average” Mean?
This means that the insurer is allowed to reduce their pay out in the event of the claim in proportion to the amount under-insured.
Let’s take an example:
A policyholder insures their home and contents for €200,000.
They make a claim for € 50,000 following a fire.
The insurer assesses the total value of the home and contents to be €250,000.
Thus, the original policy was only for 80% (€250,000/€200,000) of the actual value.
Thus, the payment made when the insurer chooses to “apply average” will be 80% of €50,000 which is €40,000.
Over insurance
The term overinsurance refers to a situation in which insurance coverage is much higher than the property insured.
Overinsurance is a common occurrence among household insurance policyholders. Over-insuring your property should be avoided because you could end up paying more than necessary in premiums.
It is also important to note that the value of your property can also change. While you may not have been over insured when you took out your policy, you may end up over insured if the value of your property decreases over time.
Example: A household with an estimated value of €100,000 is covered by a sum insured of €100,000 .
Several years later, after the sale of several items of personal property with a combined worth of €25,000, the estimated value of the household is only €75,000. The policyholder is paying premiums for €100,000 of coverage, but only needs € 75,000 worth of coverage.
The “opposite” of over insurance is underinsurance.
Policyholders who pay for overlapping insurance coverage or unnecessary insurance policies are also sometimes said to be over insured.
Loyalty Benefit
Avraam Insurance offer to home owners 10% discount on each new motor insurance policy.
