Property Insurance for Individuals
This category includes insurance products designed to compensate for financial losses suffered by an insured as a result of damage to their personal assets.
These policies are divided into insurance covering property (car, home, business, etc.) and liability insurance, which provides protection against third-party claims for bodily injury or property damage caused by the insured.
The most common property insurance policies for individuals are:
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Auto Insurance:
The primary purpose is to repair or indemnify accidental damage resulting from the use of motor vehicles.
In Spain, all vehicle owners are legally required to carry mandatory third-party liability coverage.
In addition to this required coverage, policies may include protection for the vehicle itself (glass, theft, fire, collision, roadside assistance) or the insured driver (personal accident coverage).
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Multi-Risk Insurance
(Home, community, business, etc.): This type of insurance combines several risks within a single policy that protect the insured in the event of financial loss. Thus, within the same contract, there is cover for material damage (for example: fire, theft), Liability, Assistance and other guarantees that broaden the range of claims that may arise in this type of risk.
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Liability Insurance:
Its purpose is to cover compensation for personal injury or material damage that may be caused to a third party due to the fault of the insured, persons for whom they are responsible, or events arising from their private or professional life.
Property Insurance for Businesses
This policy covers damage to a company’s movable and immovable property resulting from a covered loss.
It is designed for companies seeking to protect their assets and ensure business continuity in the event of unforeseen incidents.
Businesses can insure their property (building and contents) under two valuation methods:
- Actual Cash Value:
Replacement cost minus depreciation for age and use.
- Replacement Cost (New-for-Old):
Replacement value without deduction for depreciation or wear and tear.
A named-perils product or an all-risk policy can be taken out. The main differences between the two are:
- Named-perils:
Those events expressly included in the policy are covered.
- All-risk:
Any accidental damage is covered unless it is expressly excluded in the policy or cannot be taken out as an optional cover.
Most common covers:
- Fire and additional perils.
- Loss of rental income.
- Aesthetic damage.
- Electrical damage.
- Glass breakage.
- Replacement of documents.
- Vandalism.
- Damage caused by rain, hail or snow.
- Flood.
- Impacts.
- Damage caused by water leaks.
- Burglary and robbery.
- Machinery breakdown.
- Electronic equipment.
- Loss of profits.
- Goods in cold storage.
- Spillage of liquids.
- Breakage of tanks and containers.
- Industrial assistance.
