Some time ago we discussed what the building element in a home insurance policy means, but today we want to explain what the building element means in community insurance policies. At our Madrid insurance brokerage, this type of policy, community insurance, is one of the most requested by our clients, so we want to explain what most insurers usually define as the building element in their general conditions.
Definition of Building Element in Community Insurance Policies
In community insurance, it is essential to understand the concept of the “building element”. This term refers to the structural elements and annexed dependencies that make up a building or residential complex and form an integral part of the insured property. The distinction between building and contents is fundamental in determining exactly what aspects are covered by the insurance policy. Below we explore in detail what is considered building element in community insurance, examples of its components and how to distinguish it from contents.
Structural Elements and Annexed Dependencies That Make Up the Building
The building element in community insurance includes all physical components intrinsic to a building or set of dwellings. These elements are essential for the integrity and functionality of the property and usually include:
- Foundations and structure: Foundations, walls, beams, columns and roofs form the structural base of the building. These components are essential for stability and safety.
- Fixed installations: This includes systems such as plumbing, electricity, heating, air conditioning and any other permanent installation that allows the building to function.
- Doors and windows: Exterior and interior elements such as doors and windows form part of the building because they contribute to the security and watertightness of the property.
- Fixed decorative elements: Items such as mouldings, coverings and decorative elements permanently attached to the structure of the building also fall into this category.
- Communal garages and storage rooms: If the building has common areas such as communal garages or storage rooms, these are also considered part of the building.
- Communal corridors, stairs and lifts: Common spaces such as corridors, stairs and lifts serving multiple properties are also building elements.
Difference Between Building and Contents
Distinguishing between building and contents in a community insurance policy is crucial to ensure adequate cover. While the building focuses on structural elements and annexed dependencies, contents refers to movable goods and communal property owned by residents inside the building. Examples of contents include furniture, appliances, tools and similar items.
Valuing the Building in Community Insurance
The building element in community insurance is usually insured on a total value basis, so it is necessary to calculate an amount that represents the reconstruction value of the building. This figure should not be too low in order to avoid underinsurance. If there are doubts about this valuation, we can consult our brokerage or the insurer.
At Vida SR, as experts in community insurance, if you would like to compare the conditions and price of your current community insurance with leading insurers without obligation, contact us.