Insuring your home is essential to its security particularly when it is unoccupied for long periods or rented out to a third party. There are around 52 insurance companies operating in Turkey with each offering their own definitive types of insurance products. The Directorate General of Insurance regulates the Turkish insurance market whilst the Insurance Supervisory Board of the Under Secretariat of Treasury supervises the market. In 2007 the Turkish government passed new insurance laws in accordance with EU insurance regulations, which made the insurance industry much more secure and safe from fraud.
Compulsory Insurance
If you own a property of any ilk in Turkey then you are required by law to take out compulsory insurance covering earthquakes. Turkey’s location on the North Anatolian fault line means that there is a history if earthquakes. To protect against future quakes all buildings have to comply with construction and earthquake-proof regulations, these details are contained in the properties "Use of Building Permit" or "Habitation Certificate" which are issued by the local authorities and will prove that your building has a steel concrete carcass
The DASK insurance (Turkish Catastrophic Insurance Pool) is the policy you must take out once you have purchased your property. The only exemptions are for public buildings and some property located in village settlement areas. This form of insurance ensures that the Turkish government is covered against large compensation claims should an earthquake on the scale of the 1999 Izmit earthquake occur again.
Non-Compulsory Insurance
Only licensed suppliers of insurance can write insurance policies to cover the contents and the buildings of your Turkish home against flood, fire, vandalism and theft. It is essential that you check that you are indeed buying from a regulated supplier. Foreigners can buy any type of insurance and it needn’t be from a Turkish company; many international insurance companies are licensed to sell insurance within the Turkish market. You must tell your insurer if the property will be left vacant for any period of time or if it is to be rented out to a third party as this will affect the premiums and the type of cover available. Failure to disclose this information will result in an invalid claim. Many policies can include public liability insurance to protect you from litigation.
Understand What You're Signing
Insurance policies with all of their small print and technical terms are not the most interesting form of reading; however, it's very important to understand what you type of policy you are committing to. It's crucial that you review the information on the policy to ensure that it is accurate as inaccurate information may invalidate future claims. Additionally, make sure that you understand what the excess amount is on the policy – that is the amount of money you have to pay before a claim is paid out by your insurers. Be aware that most standard policies do not cover the particular risks associated with holiday homes.
Divulging Details
Your insurer will need to know your name and home address, the address of the property insured as well as details like the number of floors, how many are occupied, the type of dwelling (e.g. detached or apartment), whether it is rented, the intended use of the building e.g. private or business and how long it will be occupied for each year and details about the construction materials. The insurance company will also need to know whether you have security and fire alarms installed. For contents insurance you will need to provide details of any jewellery and precious metals on the premises as well as any antiques, technical appliances and valuable art. The insurer will also require details of any claims made to other insurers in the last five years. Your insurer will ask you to set a value on your buildings and contents and your premium will be based on this. It is worthwhile photographing any valuable items kept in your property and you should also keep the receipts for all goods that you have purchased and intend to leave there if they are considered of value to you.
