insurance before completion ?

[sdgc]

does any one know how an off plan purchaser would stand if say half way through the construction, there was an accident (eg crane collapses or lorry drives into building) and the structure is damaged.
would they be liable for any extra costs or are the developers/builders responsable or even covered? Are there any policies that offer cover for off plan purchases?

[dave99]

Originally Posted by sdgc

does any one know how an off plan purchaser would stand if say half way through the construction, there was an accident (eg crane collapses or lorry drives into building) and the structure is damaged.
would they be liable for any extra costs or are the developers/builders responsable or even covered? Are there any policies that offer cover for off plan purchases?

Not sure about anyone else but my project has an insurance policy that was a requirement of the building license - it is not for full value but would cover most aspects of damage before completion.

The point is that YOU as a buyer have nothing to insure - you do not own anything until you have a deed.

I've asked a major insurer that covers Egypt and they will do a group insurance policy on a "in progress" build once every floor is "substantially finished at which time you should insist that this is proven to be in place.

Your developer should be able to show you a copy of the standard policy - needless to say my owners have a copy of ours.

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[dave99]

How come everyone is ignoring this thread - it is VERY important for buyers to have some protection of their investment whilst it is being built so why are all the industry members on this forum choosing not to respond.


ALL agents who tell their "customers" that they have done a "due diligence" excercise MUST know about this aspect of the development, and even not doing this officially they need to know as simple good practise.




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[dave99]

Originally Posted by sdgc

does any one know how an off plan purchaser would stand if say half way through the construction, there was an accident (eg crane collapses or lorry drives into building) and the structure is damaged.
would they be liable for any extra costs or are the developers/builders responsable or even covered? Are there any policies that offer cover for off plan purchases?

If any buyer is interested - and you should all be - then PM me for a copy of the minimum insurance cover that should be in place on the development that they are buying into - then you know what to ask for.

There is no acceptable reason for you not to be given a copy by your agent or developer.

And do not be "fobbed off" with "it's in Arabic" - it's very easy to get an official translation, and depending on which Insurance Company it may have an English version anyway.

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[Janoulaki]

I would be interested to know more about that

honestly I do agree with you that not a lot of people reply, they just read and use that piece of info and believe that they are clever.

I have got some info re subject
Is it legal requirement for developer to have these type of insurance?
Do developers include the price of this insurance into the selling price? So in fact the buyer is paying for it?

cheers
PS: no point to PM anything as this way more people can quietly read it without saying Thank you for such a valuable info

[dave99]

Originally Posted by Janoulaki

I would be interested to know more about that

honestly I do agree with you that not a lot of people reply, they just read and use that piece of info and believe that they are clever.

I have got some info re subject
Is it legal requirement for developer to have these type of insurance?
Do developers include the price of this insurance into the selling price? So in fact the buyer is paying for it?

cheers
PS: no point to PM anything as this way more people can quietly read it without saying Thank you for such a valuable info

1. I think it is mandatory now - no idea before April 2007
2. This is a cost of the development therefore it is paid for by all the buyers
3. It is only for the development phase - when the apartments are finished it is up to the owners to deteremine how to insure their own apartment.
4. Our Owners Club will make the decision as a group, probably it will become a group policy covering all the apartments and the communal areas, and then cost will be shared.


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