For condo owners: Do you get building insurance for your own unit?

[yebo]

for any insurance for house/building/condo make sure that it is explicitly written in black and white that the whole coverage amount is not subject to depreciation.

dyan madaming nadale during ondoy. they charged yearly the same premiums for the same amount of insurance then when the flood came they charged depreciation cost. so like you have a property insured for 10M and it was built 5 years ago, they charged you the same premium year after year (kung 1.2k per million like qwerty said then 12k per year) but if you make a claim now then they will factor in 5 years of depreciation. dyan kami natalo during ondoy. my house was insured for 3M and i was expecting an award of 1.2M due to the flood damage(estimate done by them) however after depreciation charges we were able to get only less than 500k!!! if we wanted to contest daw then we need to file a case. my lawyer said that will take several years so just take the money.

so, make sure it is very explicit in your policy that there will be no such depreciation charges from the insured amount later.

[papi smith]

OT, but really curious, Is there a coverage which explicitly states "not subject to depreciation"? Paano kung wala?

Parang medyo magulang yung ganong scenario kasi, when you renew, you do not depreciate the cost of your property, you still pay for the same cover and premium. Sa auto, ganito di ba?

To avoid this, maybe one should insure with different companies yearly, so they cannot contest depreciation over yearly renewals?

[yebo]

To avoid this, maybe one should insure with different companies yearly, so they cannot contest depreciation over yearly renewals?

yan exactly nasa isip ko para walang depreciation.

BUT, you will still have the "year built" and "cost of building and improvements" in the tax declaration form (which is the basis of the amount of insurance coverage). kaya dapat talaga meron at least letter stating not subject to depreciation.

[papi smith]

There is an interesting share about this case by Mdejess at pinoymoneytalk. IIRC, this guy contested his initial settlement for a long period of time, though he was not able to get the insured amount, I think he was able to settle with 3x the initial offer.

Correction: it took him 2 years pala to finally settle at 1.2M+ from initial offer of 610k for a cover of 7M. I found the link below..

Insurance loss claim, how adjusters calculate loss. - Banking / Insurance / Credit Cards - PMT Forum

[ice15]

just sharing...

was planning to insure our unit, kaso insurance does not want to include earthquakes kasi our condo is 950m away from a fault line.

[dr. d]

just sharing...

was planning to insure our unit, kaso insurance does not want to include earthquakes kasi our condo is 950m away from a fault line.

inquire if your condo is already automatically insured by the building operator.

[ice15]

inquire if your condo is already automatically insured by the building operator.

yes the "condo" is insured

something happens to the unit that affects the facade and hallway, they will have it fixed
anything inside the unit owner's problem