Sep 2019

Do You Have The Right Insurance On Your Property?

It is of high importance that Property Owners ensure that their real estate property is covered by insurance. 

Property insurance is a shelter against natural or man-made damage on your property. In general, property owner insurance covers the property and the structure itself. Property insurance comes in two main forms, which are Structural and contents insurance. The structural coverage deals with issues or damages to the structure of your property and the contents part take care of damages that may arise on the contents of your property such as items like refrigerator, television, washing machine, furniture set, etc. These policies provide property owners with peace of mind. For example, natural calamities cannot be predicted, any structural damage arising due to a natural disaster will be covered by your insurance policy; also man-made damages on your property such as the destruction of properties in South Africa from the xenophobic attacks will be covered by your insurance policy thereby saving you a lot of money which would have otherwise come from your pocket. Likewise, insuring the household items is again important as it provides protection in case of a burglary and theft of priced items.

Insurance coverage comes in many shapes and sizes, so talk with your real estate advisor to design a policy to best protect your property. Listed below are the four standard types of coverage that property owners can choose from.


1.      Property and Casualty Insurance

In its most basic form, property and casualty insurance coverage provides protection against damage to property from events as diverse as civil commotion like the xenophobic attacks in South Africa, glass breakage and vandalism to lighting, fire, smoke or damage resulting from a car running into your building. 

2.      General  Liability Insurance

General liability insurance coverage insures property owners against claims by third parties e.g. tenants or visitors for negligence or damage caused to the possessions of a tenant or visitor to your property, injury to someone on the premises or damage or harm to a third-party who may be working on your property. This policy can also provide protection against situations such as a tenant or visitor falling due to a slippery stair or a faulty handrail. 

3.      Flood and/or Water Damage   Insurance

Having flood and water damage insurance coverage protects against any sort of water damage except for a sewer back up. Such insurance takes in a substantial assortment of variables: accidental damage because of malfunctioning plumbing, heating, refrigeration or air-conditioning systems, as well as water damage caused by nature, such as the hurricane dorian, rain or snow. Normally, this sort of coverage is in addition or an endorsement to a basic property insurance policy.


4.      Umbrella Liability  Insurance

Umbrella liability insurance coverage goes beyond that which a basic liability insurance policy provides and comes into effect after the basic policy has paid the maximum allowed. This is insurance against unexpected catastrophic losses.

3Invest offers real estate advisory services for property owners and provides insurance proposals crafted to suit each owner and their property. Ensure your property has the right insurance, talk to a 3Invest official today.


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