Property Insurance

Complex Mortgage Insurance Program

Mortgage Insurance allows you without any difficulties to fulfill a mandatory requirement of a bank granting a mortgage loan. On occurrence of an insured accident, Allianz will provide you with help and assistance.

Complex Mortgage Insurance Program anticipates coverage of all main risks during Mortgage Insurance, including: property insurance in case of damage or destruction; title insurance – an insurance in case of loss of property rights; an insurance of a borrower against an accident.

Advantages of Complex Mortgage Insurance Program:

• Possibility to choose an optimal insurance coverage.
• Program takes into consideration all peculiarities of loan transactions and satisfies requirements of mortgage programs of main banks.
• Insurance is executed by one document (Policy or Agreement) for the conveniences of a client.
• Possibility to insure an interior trim and an installation of a residential premises.

Under this Program we insure

As for Property Insurance:
1. Real Estate :
- flats/apartments ;
- separate rooms in flats;
- houses;
- cottages;
- summer cottages/dachas;
- bathhouses;
- garages;
- other economic constructions and buildings.
Real Estate includes:
- Elements of construction - bearing and non-bearing walls, partition-walls; entrance doors; windows; electric wiring; mains, except plumbing (baths, closet basins, sinks, mixing faucets, shower cabins, saunas, etc.).

2. the following can be also insured:
- interior trim – all types of interior plastering and painting, including, modeling; decoration of walls and ceilings by all types of wood, plastic and other materials; their papering, floor topping and walls (including parquet, linoleum, etc.), room piders, including glazing; built-in furniture.
Installations - plumbing and heating installations - (baths, closet basins, sinks, mixing faucets, shower cabins, saunas, radiators, etc.)

As for Accident Insurance:
Borrower’s life, health and ability to work.

As for Title Insurance:

• Risk of damages, caused by loss of insured property, owned by a Borrower, as a result of ceasing the property right.

InsuredAccident

As for Property Insurance an insured accident is a damage, a destruction or a loss of property as a result of:


• fire, gas explosion, lightning stroke, impact of an aircraft;
• natural disasters (storm, hail, earthquake, landslip, flood, shower);
• faults of plumbing, collecting, heating, fire extinguishing systems;
• unlawful actions of third persons (burglary, robbery, brigandage, deliberate damage and destruction of property);
• running-down accident, sudden fall of any subjects (trees, branches, radio-, television and satellite antennas, ice, etc.).

As for insurance of a Borrower against  Insured Accidents those are the following:


• death (decease) of a Borrower caused by an accident;

• primary disability ascertainment of І - ІІІ group (including rise of disability group) of a Borrower caused by an accident;
• traumatic injury or other health disorder of a Borrower caused by an accident.

As for Property Insurance against its loss as a result of ceasing property rights an Insured Accident is a loss of Insured Property as a result of ceasing or restriction of Borrower’s property rights for that property by the independent reasons of the owner, which occur before or during the validity period of the Agreement, and they were not known to him/her, namely:


• availability of property rights on insured property to other persons than it was indicated in the Agreement;
• any restriction of property rights, including an existence of debenture or an obstacle to realize the property rights;
• restriction of property rights as a result of servitude establishment;
• invalidity or illegality of obligations under a Collateral Agreement (Mortgage);
• an advantage of any debenture or restriction under commitment, which was established by valid legislation and was in action at the moment of concluding the Agreement;
• incapacity or diminished capacity of inpiduals – former owners in previous transactions because of alienation clause;
• registration of an Insured person’s right on the basis of an invalid agreement as a result of technical mistakes, discrepancies, incompleteness and unreliability of information in execution or content of documents, which establish property rights for insured property, suffered by notaries public or responsible employees of the state registration bodies of property rights for insured property.

Insurance Beneficiary – a Bank, which grants mortgage loans (in the outstanding amount under the Loan Agreement).

Sum insured can be established:
- at the rate of actual value of Real Estate object at the moment of conclusion of the agreement, or
- at the rate of Borrower’s outstanding amount under the Loan Agreement at the beginning of validity period of the Insurance Agreement, and reducing during the life time of such agreement according to the Repayment Schedule.

Insurance cost - 0,45% - 1,25% of the Sum insured.

The Insurance cost depends on: chosen risks, category of insured building, the purpose of its use, Borrower’s age (for insured accidents), insurance period and other factors, which have influence on the risk level.

Validity period of an insurance agreement can constitute from 1 year up to 30 years, depending on the maturity period and requirements of the Bank, which granted the loan.

Insurance territory of an insurance agreement – is the address of place of insurance, indicated in the agreement.
Insurance territoryof an insurance agreement for insured accidents – is the whole world.

Franchise – is established on mutual agreement of the parties.

Necessary documents to conclude an insurance agreement:


• internal (civil) passport, a copy of the Insured person’s tax payer certificate;
• a copy of Real Estate evaluation statement;
• a copy of Loan Agreement and Collateral Agreement;
• a copy of legal document, confirming a Borrower’s property right or other property rights for Real Estate (a purchase-sale agreement, a certificate on property right, investment agreement, etc.);
• a copy of registration certificate on property right, issued by the territorial body of Bureau of Technical Inventory (BTI);
• a copy of legal document, confirming a property right on plot of land, should a house is a Real Estate.

Insurance payout does not take place in case of:


• deliberate activity or inactivity (including non-performance of obligations under the Agreement) of an Insured person and those who permanently live in insured premises, aimed at occurrence of an insured accident;
• violations of requirements established by valid legislation of Ukraine, as well as safety regulations and standards by an Insured person and those who live in insured premises, and such violation is a reason for occurrence of insured accident;
• circumstances, which were known to an Insured person or he/she had to know, but did not take all measures to prevent the occurrence of an insured accident;
• fraud or other illegal activity of an Insured person, aimed at obtaining benefits from the insurance;
• obtaining by an Insured person a complete compensation of losses from a guilty person;
• in other cases anticipated by the agreement.