Spain continues to be the favourite country for Europeans looking to buy a second home. The excellent climate, its location just a short trip from your own country and tempting housing prices are undoubtedly the main reasons this market has remained stable, even in spite of the economic crisis.
The main risks to cover
If you have purchased a house in Spain but you are not there throughout the year, you ought to consider taking out a home insurance policy. Empty houses are usually at greater risk, and, even worse, the damages can escalate if you don’t catch them in time. A basic policy in Spain is also not very expensive, with average prices around €250 per year.
Ideally, you should take out a policy that offers certain basic coverage, such as protection against electrical damage or damage caused by water and adverse weather conditions. Another area you shouldn't overlook is coverage for theft, since the chances that someone will break into your house is greater if it is left empty for long periods of time. You should also choose a policy that covers the replacement of locks, broken glass, and the consequences of vandalism. Also make sure that the insurance covers civil liability and legal defence.
Avoid 'double insuring'
Every home is different. The secret to finding the best insurance policy does not lie in replicating the coverage on your first home, but rather in identifying the differences between the houses and choosing the coverage you really need. The first step is to ensure that you have not covered something twice. For example, if you already have insurance for your primary residence and it covers the fraudulent use of credit cards or provides for travel assistance, you do not need another version of this in a different policy.
It is also useful to learn about insurance policies that your neighbours have. Being familiar with their policies will help you avoid covering something twice and you will be sure you are paying only for the services you really need.
In Spain you are not obliged to take out a home insurance policy, even for your primary home. Even so, we recommend that you do so. In fact, 62% of Spanish homes are insured. The documents you will need to take out the policy are your passport, NIE, and the purchase contract for the house.
To overcome the language barrier, most state offices recommend that you hire an interpreter if you do not speak Spanish well. However, insurers almost always employ agents that speak English fluently, especially if they are located in popular tourist areas.
This article has been submitted by Liberty Expatriates