If you already have your home in Mallorca, it’s time to think about your options of home insurance in Spain. Half of all houses in Spain have no insurance and this might be a problem as the percentage of accidents at homes it’s the highest in this sector, with over 5 million registered cases annually just in Spain.
Wanna keep out of those statistics? Keep reading! Even though it is not mandatory to have home insurance in Spain if your property doesn’t have a pending mortgage, having it will keep your mind at peace.
What is a home insurance policy?
There are different types of policies you can choose from, protecting you from damages to the structure of the house itself, to the objects contained in it.
Which one do I choose?:
The basic types of policies are these:
The simplest and cheapest alternative. It keeps your property covered against fire, explosions, robbery, pipe fixing, floods, broken windows…
At a higher price but still very affordable, offers everything the basic plan covers plus civic responsibilities, esthetic damage, home assistance and defense attorneys.
This service also covers fixing of electrodomestic appliances, tech appliances maintenance and DIY projects.
How to calculate the price of the insurance
These are things that might have an impact on how much you spend on your home insurance
- The size of your property. To be able to calculate this, it’s important to take as an estimate the amount of money you would need to rebuild entirely. Este valor se obtiene por la superficie en metros cuadrados de la vivienda (más garajes, trasteros, etc.),To obtain this number, just multiply the square meters of the property, by the actual market price of the square meter.
- Determine if you want the insurance to cover the value of your furniture and appliances or not, as the price will vary according to the value of said objects.
*Special value objects such as fur, jewelry, artistic objects (paintings, sculptures…) need to be declared separately
- Having a safe box will give you the option of having some type of coverage and lower the price of others.
Average price of insurance: Around 180 Euros annually in Spain, as basic coverage.
When we’re not sure exactly how to calculate the value or our property and objects contained in them, when can choose whether we could have the insurance over or under the estimated price.
Choosing your home insurance in Spain step by step
Don’t be afraid to ask everything you’re curious about.
This is the first and most important step. It is necessary to compare different insurance companies and banks in order to compare and choose the best possible offer.
Be sure to read the small letters, you need to know exactly what you’re paying for and be sure we won’t encounter any issues when the time comes.
The most common option is to have a multi-risk/combined insurance with civic responsibilities as a plus, everything inside and outside of the property is covered by these.
Always be sure to know how they’ll pay you back
If we’re ever in the situation of having to use our insurance, we have to know beforehand how they’ll handle everything. Whether they will fix the damaged object, replace it, or downright give us cash for it’s value. Make sure to know all this.
9 things you should know
1. Make sure to always give accurate information
Parámetros de la vivienda y uso de la vivienda. Por ejemplo, si eres propietario o inquilino, para asegurar cada cobertura con los valores que correspondan (valor a reposición, a primer riesgo…) Parameters and use of property, whether you are the owner or you’re renting the place, to make sure everything goes smoothly at the moment of insurance.
2. Do an inventory
Always make sure to know exactly what you own so you can have more accurate figure to insurance your goods for.
3. Never compare your insurance with anybody else
You insurance might be different and have different prices as every property and particular needs are differents.
4. But do compare between all of your options
Most home insurance have very similar options, the main differences tend to be at::
- Robbery outside the property.
- Esthetic damages.
- Electric damages
- Complementary DIY insurance or tech assistance.
5. Make sure to know the concept of “jewelry” the company you’re choosing has
In order to avoid any misunderstanding if a robbery had taken place. Some companies just classify some objects as “jewelry” if they cost more than a certain amount of money.
6. Make sure to know the concept of “special value objects” the company you’re choosing has
7. If you have taken extra measures against robbery, ask the company you’re choosing if you can opt for a discount
Having a safe box, a reinforced door, grids, or alarms at home might benefit you as it might get you a discount on your insurance. Sometimes these are not valid for discounts but determinant to the amount of money you might insurance your property for.
8. Water damage
Most regular insurance won’t cover water damage, make sure to take this in account before choosing as you might need it depending on the type of property you live in.
9. Make sure to adapt the value of your Civic Responsability to your insurance
The common value asigned to this matter at regular insurance policies is 150.000 euros. This value can be modify to better fit the client’s needs. The recommendation we give is to hire a civic responsability that covers anything from 150.000 to 300.000 euros.
10. Apartment or Chalet
If you live in a chalet, you will need a different type of insurance of an apartment, a more complete coverage of possible damages to the garden and such areas.
Fire related coverage?
These are the most common fire related accidents covered by insurance:
- Damage by fire
- Damage by explosion
- Damage by lightning strike
- Damage by smoke
- Money expenses related to extinguishing the fire
- House rebuilt
- Garden rebuilt
Does insurance usually covers time related damages, as in regular damages made without accidents but with age?
Unless you buy this specific feature, traditional insurance policies will not cover this kind of issue.
What are the most common accidents?
Electrical accidents, burns, intoxications, cuts, falls, and bruises.
Is everything at the same money value?
No, in case of money, jewelry, and documentation robbery outside of the house the insurance will need proof of violence or physical threat at time of the occurrence in order to pay the indemnization, in other words, if you were in real physical danger.
Does insurance covers elements outside of the house?
Yes, fabric roofs, curtains, antennae… All these elements are covered by your insurance, all though is always good to check everything at the moment of signing the contract to avoid future misunderstandings.
Are my kids covered by my house’s insurance?
Yes, besides you being covered by your insurance, you spouse and single, under 26 years old kids are covered. Also, your parents can be covered by your insurance if they live at the house with the owner of the policy and depend financially of this person.
Does my insurance covers damages to my cellphone?
Does my insurance covers my pets?