House or apartment insurance is functional only when you work with it continuously

Mr. Václav in 2005 approved a family house, which also insured at 4.5 million.Since then the price of his family house has risen by almost a third.As well as the value of household equipment in which he has invested considerable funds in 13 years.Nevertheless, he had a house insured last year for 4.5 million crowns and households at 700,000 crowns.

“Unfortunately, I think a lot of older contracts for family houses, but even apartments are strongly supported today.At the moment of the insured event, they will receive damage to very low indemnity, ”says the analyst of the Partners Group in the Partners Group Jiří Matusík.

According to him, only the price of material and work for the construction of the house in the last 14 years has increased significantly.The value of the property has also increased at the same time.The same applies to household equipment.Even in them a lot of new added.In the case of Mr. Wenceslas, his property is supported.

“So in February 2018 we changed the contract.We increased the insurance amount of the family house to seven million crowns and benefits at one million crowns, ”explains the analyst Jiří Matusík.

What do people have concluded for contracts

“Insurance amounts, or the limits of insurance indemnity, need to be monitored across all types of insurance.If there are no fundamental changes in insurance risk, when it is necessary to respond without delay, it is good to revise every three years.If the so -called indexing is not set up in the insurance contract, ”explains Veronika Exnerová, spokesperson for the Czech Insurance Association Veronika Exnerová.

The most common moment for adjusting and updating the insurance contract is reconstruction, fundamental replacement of furniture, purchase of new appliances and more expensive electronics.All this naturally increases the value of property and real estate.

"Even a situation where one of the family members, for example, acquire an expensive musical instrument, is the reason for adjusting property insurance," explains Veronika Exnerová.

According to her, current contracts on property insurance are flexible and can be made changes.This is not a complicated and relevant update of insurance settings can prevent unpleasant surprises in solving an insured event.

What is the consequence of supporting

"I was lucky about the hell.We modified the contract at the beginning of the year, insured the house for seven million crowns.In June of the same year he caught me the whole house since photovoltaics.And so that the pity was a total pity, ”recalls Mr. Václav.The insurance company paid him the maximum performance.However, if it did not update the insurance contract, compensation for an insured event would not cover the value of the entire damage to the assets.

“In the case of Mr. Wenceslas, the insurance company would shorten the insurance indemnity to 65 percent and would receive three million crowns from the original amount of CZK 4.5 million.And the household would shorten the indemnity to 70 percent.This would be given to Mr. Václav from the original amount of 700 thousand crowns by 200 thousand less, ie 500 thousand crowns, ”explains Jiří Matusík.

How do supporting insurance arise?According to experts, for three reasons.The first is when people who do not have sufficient experience and choose a non -compliance with ignorance.The second is when they deliberately underestimate the price of property in order to save on premiums.And then the third reason is to pay an old insurance contract without being interested in whether the value of the sums in it corresponds to the reality.

How are the sums of total damage calculated

International statistics show that Czechs put significantly smaller sums in insurance than people in Western Europe.This is also reflected in low -set sums.Supporting the value of assets is whenever the value of the subject of insurance specified in the contract is lower than its actual value.If the insurance company detects support for the liquidation of an insured event, it pays the client to a lower amount.The insurance company or broker can advise the amount of the sum insured, but the full liability is carried by the policyholder.

In the case of family houses, the sum insured is determined as a reproductive value.This means that it must be such an amount that in the case of total damage can be re -built.In the same way.Does not play the role of the market price.

For apartments it is more complicated.Some insurance companies insure for a new price, in the case of total damage, in such a case, a similar apartment can be purchased in the locality.However, some insurance companies are insured at the reproductive price, which in some cities may not be sufficient for total damage.