Residential community insurance

Our residential community insurance is a specialized product designed for homeowners’ associations in residential buildings or complexes. This insurance package covers the common areas and facilities used by all residents. 

This includes common areas, structural elements and installations, as well as independent and separate parts of the building. The insurance covers risks that may arise in the day-to-day operation of the building, ranging from natural disasters to accidental damage. 

Why should you insure your residential community?

Residential community insurance protects property and reduces financial risk in the event of unforeseen incidents. It ensures the stability of the community and provides security for all residents by covering potential damage from natural disasters or accidents. The option of sharing premium costs among residents makes this product affordable to everyone.

DDOR osiguranje provides comprehensive protection for residential communities and their common areas, ensuring security and peace of mind for all residents. This package covers a wide range of potential risks that could affect common areas, helping to minimize financial losses and protect common property. 

What can you insure?

• Common areas (stairwells, entrances, corridors, basements, bicycle storage rooms, laundry rooms, etc.)
• Common structural elements (foundations, eaves, façade, roof, chimneys, ventilation shafts, elevator rooms, etc.)
• Common installations, equipment and rooms (interior electrical, plumbing, sewage, gas, and heating systems, telephone lines, panic lights, fire alarm and fire extinguishing systems, etc.)
• Independent building components (rooms used to house technical equipment)
• Separate building units (separate functional units such as apartments, garages, etc.)
• Building (a structure with a roof and exterior walls, constructed as an independent unit for residential use, activities or storage) 
• Residential building (comprised of at least three apartments)
• Family house (comprised of up to three apartments)
• Residential and commercial building (comprised of at least one apartment and one commercial unit)
• Commercial building (comprised of one or more commercial units)
• Liability of the residential community

When taking out an insurance package for residential buildings, there are two important criteria to consider in order to accurately determine the price and coverage. These criteria ensure an accurate valuation of the property and adequate protection for both common and separate parts of the building.

1. Type of building

The type of building is determined through an on-site inspection and photographs or a property valuation by a certified appraiser. Particular attention is paid to the total surface area of the building, the year of construction, the number of floors, the total number of apartments, the number of insured apartments, the length of the front, whether the roof is flat, and whether the building has an elevator.

1. Price per square meter

The price per square meter is determined in consultation with the client on the basis of the current building value. The insurance is arranged in accordance with the price per square meter entered into the application, with a range of offered values. Other sums insured are calculated as a percentage of the building value or entered manually, depending on the options available in the drop-down menu. 

These criteria are used to determine the exact insurance price, which guarantees adequate cover for all parts of the residential community. 

When signing the policy, the policyholder must also provide the insurer with a certified statement or proof that he is the building manager or an authorized representative of the community.

Two insurance packages are available, each covering different risks within residential communities to provide comprehensive cover for the building, common areas, and liability of the residential community.  

Package I – Fire

This package covers basic and supplementary risks related to fire and allied perils, and includes the following categories: 

• Compulsory risks

Fire and allied perils, including: thunderbolt, explosion, windstorm, hail, fall of an aircraft, manifestations and demonstrations, outflow of water from installations, and glass breakage. Glass breakage is defined in the proposed amount, shown in euros in the application. 

• Supplementary risks

Flood and torrents, breakage of built-in installations and equipment (including the cost of excavation, asphalting and locating the damage if stipulated separately), elevator malfunction risk (defined in the proposed amount, shown in euros in the application), earthquake, damage caused by excessive snowmelt, impact of an unknown vehicle, smoke, and sonic boom.   

• Loadings

Surrender of depreciation for partial losses caused by fire and breakage risks (if this loading is stipulated, partial losses will be calculated without deductions for the age of the insured property). 

• Sum insured 

The amount to which an item i.e., the property interest is insured and which represents the insurer’s maximum liability. This amount serves as the basis for calculating the insurance premium.

• Insurance is stipulated for a fixed sum insured or at first risk. 

Package II – RESIDENTIAL COMMUNITY LIABILITY INSURANCE

This package covers the civil liability of the residential community for damage. 

• Subject of insurance

The civil and legal liability of the residential community for losses which include death, bodily injury or deterioration of health, as well as damage to or destruction of third-party property.

• Sum insured 

A range of proposed amounts defined in the application.

• Insurance is stipulated to a fixed sum insured.

Policies are terminated in the following situations:

• sale or transfer of the insured property, 
• disappearance or total loss,
• bankruptcy or liquidation,
• death of the insured.

Documentation proving the above reasons for termination must be provided.

• Insurance premium can be paid in the form of a single payment. 
• Premium can also be paid in up to 12 installments.

Many residential communities opt for a combination of basic property insurance and residential community liability insurance.

Why is this combination the right choice?

Basic property insurance covers primary risks such as fire, thunderbolt, explosion and outflow of water from installations, and protects the building against the most common types of damage. At the same time, residential community liability insurance covers damage that common areas or installations may cause to third parties, and reduces the risk of potential legal and financial liabilities.

This combination provides stability and security for residents and ensures property protection and financial security in the event of unforeseen incidents.