A must to protect your investment but check around as some Thai companies may vanish overnight. Check basic covers, fire and theft & the fine print. Although we don’t have any major disasters in Chiangmai some areas are prone to flooding. Take out a cover note when you settle on the property. If building a home, ensure you have cover from the day you start building. We are able to assist you with all your Insurance & security alarm systems shortly.
1/. Replacement cover – reinstates your property to it’s former condition if destroyed, i.e. new for old. Don’t confuse replacement value the price you paid for the property. A home bought for THB 3,000,000 may cost THB 7,000,000 baht if replaced. It’s cheaper for a builder to build several houses at a time, than to construct just one fro instance.
2/.Indemnity policy – reinstates or repairs the property & depreciation is taken into account, i.e. old for old. You only receive a part of the amount it would require to replace it.
Premiums vary greatly depending upon the size of your home, features, location, and construction eg. security system, fences, keyed locks on all windows and doors? Maintain your home: Check for loose roof tiles, electrical fittings, plumbing, sewerage outlets, wiring & lines. Some insurance policies in Thailand don’t cover your properties against “Acts of God”, such as lightning, hail, earthquakes and floods.
Coverage is replacement value or cash value. Say your THB 5,000 fridge is destroyed, full replacement ensures a new fridge. Cash value would only give you the depreciated value, say THB 3,000. But, full replacement policies are dearer than cash value policies. Contents of a home can be valued at 50% of the structure’s replacement value, e.g. on a THB 2,000,000, contents could be as high as THB 500,000. Always keep receipts for major purchases and detailed inventory records for insurance purposes. Standard content policies in Thailand don’t cover you against burglary and theft of your valuables, e.g. video recorder, computer, jewelry – for those items you will need a burglary and robbery (special risks) policy.
For this ‘Special Risks’ policy you must provide a detailed list of items. Again keep receipts for major purchases and detailed inventory records. Our lawyer says even keep a camera record. Limit small claims and minimise burglaries with more security measures.
You may need ‘in transit’ insurance cover if moving from one house to another. Check this out & if possible talk to other homeowners or us for recommended companies to use. We also offer insurance for theft and fire to foreigners RENTING houses or condos and want cover.