Homeowners insurance in Cyprus in 2024. Best homeowners insurance in Cyprus.
Homeowners insurance in Cyprus
Many people can’t afford to replace their belongings or rebuild their property after a disaster strikes at home, and that’s what homeowners insurance works to cover.
Homeowners insurance works to protect your property and personal belongings against covered damages.
This guide will cover how homeowners insurance works in Cyprus, how to find the best homeowner insurance in Cyprus and the following topics.
Table of contents
- What does homeowners insurance cover?
- Houseowner insurance exclusions
- How much is homeowners insurance?
- What is the rebuild cost for insurance purposes?
- Homeowners insurance compare
- Online homeowners insurance in Cyprus
- Best homeowners insurance Cyprus
- Cheap homeowners insurance in Cyprus
- How to save money on your homeowners insurance
- Homeowners insurance in Cyprus quote
What does homeowners insurance cover?
The terms across all homeowners insurance vary, but most policies contain common coverage.
In general, homeowners insurance protects you and your belongings, but specific terms and certain exceptions define its protection.
Generally, homeowners insurance policies are customisable “package policies”, meaning they contain various coverages in one policy.
You can add and remove coverage options from your homeowners insurance as preferred.
The following section explains what most standard home insurances contain.
Home's content coverage
Homeowners and contents coverage financially protects your belongings and the contents of your home. Your compensation can help to replace belongings in the event of covered perils.
Ideally, your contents insurance should protect your belongings, and there are ways to ensure you are fully covered.
To avoid misunderstandings about what contents are covered, you need to calculate the estimated value of what it would cost to replace your possessions.
To estimate this figure, calculate the face value of your items instead of their current value.
Contents insurance compensates you for your items based on their acquisition value.
For example, suppose you bought the latest smartphone for €1500. Even if it costs €300 now, the insurance will still pay €1500.
Note: If you are unsure how to calculate the overall cost of your belongings, you can speak with one of our experienced insurance consultants.
Most standard contents insurance covers everyday household items, including:
- Furnishings
- Household devices
- Electrical appliances
In addition, certain expensive items can be covered:
- Professional equipment
- Hobbyist items (such as golf gear)
- Valuables (such as artwork and jewellery)
You should also declare whether anything outside your house needs coverage, for example:
- Antennas
- Solar panels
- Garden sheds
- Garden furniture
A note on valuables
Most insurance providers will ask you to declare your valuable items worth over €3,000.
You must present receipts and certificates of authenticity for expensive items worth more than €3,000 each (for example, jewellery or artwork).
Building insurance
This portion of your homeowners insurance protects the building itself. Also known as dwelling coverage, building insurance covers property damage and can pay for repairs or rebuild work.
It can also cover living expenses and help to pay for temporary accommodation if a covered event forces you to stay elsewhere.
Covered events and damages of building insurance include:
- Fire
- Vandalism
- Extreme weather
- Floods and natural disasters
Contents coverage
This portion of your homeowners insurance covers your personal belongings and the contents of your property.
Also known as personal property insurance, contents coverage can help pay for covered losses and damage due to theft or fire.
Loss of use coverage
Depending on the insurance company and policy, this coverage might be included as an additional extra.
Similarly to building insurance, loss of use can help pay for short-term living arrangements if you need to temporarily move out of your home.
If you suffer from burglary and your home becomes inhabitable, loss of use will cover your living expenses while builders repair your home.
Liability coverage
This portion of your homeowners insurance is designed to cover accidents and injuries sustained by guests on your property. Liability coverage can protect you from costly claims.
It can help to pay for pain and suffering, medical bills, loss of income, and legal expenses in case of a dispute.
Employers liability insurance
This portion of your homeowners insurance is designed to protect against work-related claims from employees you hire to work in your home (such as cleaners or babysitters).
Employers liability can help pay for your employee’s injuries and medical bills and will ensure you don’t face compensation costs alone.
Houseowner insurance exclusions
While standard home insurance shields you from most damages, some exceptions exist.
The following situations are typically not covered.
- Sewer backups
- Wear and tear or neglect
- Pest and mould infestations
- Power failure
- Nuclear hazard
- War and government action
1. Sewer backups
Heavy rainfall, melting snow, or sewer blockages can cause floods and cause extensive water damage to your home.
Depending on the cause, the repair costs may be on you without this insurance.
Homeowners insurance typically doesn’t cover sewage backup, but a specialised flood policy may cover it.
2. Wear and tear or neglect
Wear and tear damage is often in the same category as negligence. Most homeowners insurance doesn’t cover damages arising from neglect.
For example, your homeowners insurance likely won’t cover the costs to replace your plumbing system if the damage results from everyday wear and tear.
Unanticipated events (such as burst pipes) are usually covered, but exceptions exist. Certain events might be seen as neglect, depending on the circumstances.
3. Pest and mould infestations
Mould and pest infestations typically result from negligence, even though they cause unexpected damage to your home.
Infestations are preventable. Therefore, the associated repair costs are typically not covered by homeowners insurance.
Preventing pests and mould from damaging your home is part of maintenance, for which insurance companies are not responsible.
4. Power outages
Most homeowner policies do not cover damages caused by power outages and surges.
However, if a power failure causes fire damage to your home, your insurance may cover it.
5. Nuclear hazard
This exclusion refers to the damage sustained by any nuclear hazard, such as radiation.
Most homeowner policies do not cover this peril. However, nuclear reactions that cause fire damage to your home may be covered.
6. War and government action
Homeowners insurance typically doesn’t cover any damage caused by war and government action. Any damage caused by war is excluded from all types of home insurance.
How much is homeowners insurance?
The cost of your homeowners insurance depends on how much coverage you need and various other factors.
The following factors typically affect the cost of insurance for homeowners.
- The total rebuild costs
- Any monthly rental income costs
- The value of your insured contents
- The total built-up area and any renovation
- Building construction materials (e.g., masonry)
- The age of the building (or year of construction)
- Previous and current claims history
What is the rebuild cost for insurance purposes?
Calculating the rebuild cost of your house is necessary to get a homeowners insurance quote.
The rebuild cost is the amount of money required to rebuild your home from scratch.
For example, suppose your property was damaged or destroyed beyond repair. You would need the total sum of the rebuild cost to rebuild your property from the ground up.
The rebuild cost for insurance purposes can be broken down into two main factors.
- Costs of labour
- Costs of materials
There are also two primary ways to calculate the rebuild cost of your house.
- Expensive option. Hire a chartered surveyor to conduct an assessment.
- Cheap option. Use your area’s average construction cost per sq.m. in a calculation.
How do you calculate the rebuild cost of your house?
To calculate the rebuild cost of your house with the cheap method mentioned above, you need to find out what the average construction cost per sq.m. in your area is.
Then, using that figure, multiply the total area of your house by the average construction cost.
The calculation above will give you the reconstruction value of your home (excluding the value of your contents).
The total rebuild cost of a property is usually lower than its market value, as the figure doesn’t account for the cost of the land on which the home is built.
Homeowners insurance compare
When comparing homeowners insurance, you will have all-risk or named perils contracts to consider. It’s important to understand the differences between each contract.
All-risk policies cover all risks and perils that the contract doesn’t specifically exclude, with few limits. These insurance policies are also called open perils policies.
In contrast, named perils policies explicitly name the perils they cover. These contracts cover only those events listed in the contract. As such, many perils may not be covered.
For example, a named perils contract that only covers natural disasters won’t pay for damages caused by an unexpected fire. In comparison, an all-risk contract may include both natural disasters and accidental fires in one policy.
To receive homeowners insurance quotes, your needs must be assessed and determined by underwriters who will analyse the risks of insuring you.
Only international underwriters provide all-risk contracts, and insurance companies in Cyprus work alongside local and international underwriters.
At Pitsas Insurances, we cooperate with both local and international underwriters to provide you with the best house insurance.
Online homeowners insurance in Cyprus
Pitsas Insurances provides all of its services online. You don’t need to visit our offices to sign a contract.
To acquire homeowners insurance, we can send you an application form electronically, and we accept electronic signatures.
We can assess your individual case online and prepare an official quote for you. We can also discuss our offer with you via a video call.
If you’d like to proceed with your personalised quote, you can send us a confirmation email to continue with your application.
Once you have confirmed for us to proceed with your application and we complete the procedure, your contract will be sent to you online.
Best homeowners insurance Cyprus
If you are looking for the best homeowners insurance products in Cyprus, you will find them with us.
Pitsas Insurances can easily find you the best home insurance in Cyprus. Moreover, if you are value-conscious, we can help you find cheap homeowners insurance.
Cheap homeowners insurance in Cyprus
Pitsas Insurances offer the most competitively priced insurance products in Cyprus.
For an affordable homeowners policy, use our tips below to save money.
How to save money on your homeowners insurance
Boost your security. Installing security systems in your home (such as smoke detectors and burglar alarms) will help lower your premiums.
In addition, high-quality locks on your doors and windows can also help you save money.
Assess and renew your policy. When your homeowner insurance comes up for renewal, assess your options to consider getting a new quote. You might find a new and attractive offer.
Avoid paying in instalments. You can usually bring down the cost of your homeowners insurance by paying for your premium upfront. You might want to avoid paying in instalments to avoid the interest charges.
Increase the excess of your policy. You will reduce your premium if you are able to raise the excess of your policy. Make sure you can afford the amount, as it affects the amount of your claim contribution.
Combine policies for a discount. Combining building coverage with contents insurance can get you an instant deal on your insurance. You can usually get deals by combining policies.
Key takeaways
Homeowners insurance works to cover your property and personal belongings and financially protects you against covered loss and damage.
Homeowners insurance usually includes building insurance, contents coverage, loss of use, personal liability, and employers liability insurance.
Most standard homeowners insurance comes with exclusions. To cover excluded circumstances, you may need a separate house insurance policy.
Knowing how much it would cost to rebuild your home is necessary to get a homeowners insurance quote.
When comparing homeowners insurance quotes, you can choose between all-risk or named perils contracts.
If you have any questions about homeowners insurance in Cyprus, you can speak with one of our trusted insurance experts.
Homeowners insurance quote
Failure to adequately insure your home can cause unnecessary financial problems in the event of theft or damage.
We offer customisable homeowners insurance policies to protect your house and belongings against such damages and loss.
Why insure your home with Pitsas Insurances?
- Low excess rates
- Highly competitive quotes
- Comprehensive all-risk contracts
- Simple and transparent terms and conditions
- Special offers for temporary and holiday homes
- Additional coverage types, including employers liability
- Customisable insurance packages suited to your budget
For more information about homeowners insurance, visit our website.
Homeowners insurance in Cyprus quote
To get a personalised quote for homeowners insurance in Cyprus, you can complete our questionnaire.
Pitsas Insurances is part of Amazon Group Services. As a renowned group of companies, we work with many civil engineers who can help you roughly calculate the rebuild value of your home to an estimated figure.
Pitsas Insurances Team