Property Fire Insurance
This information document only specifies the main aspects of the insurance, such as what is included and what is not. It is not an exhaustive list or a personal overview of the insurance that customers choose. The information document has no legal significance and is intended solely to inform customers about the main aspects of the insurance. The insurance summary and detailed information on the applicable contract terms are available on the insurance policy, which can be accessed on Vörður’s My Pages. The terms and conditions of the insurance contain comprehensive information about the insurance coverage and are a part of the agreement between the parties together with the insurance certificate.
What type of insurance is fire insurance for buildings under construction?
Fire insurance for buildings under construction is a mandatory short-term insurance intended for individuals who are constructing new buildings or renovating existing structures.
What Is Covered?
Loss or damage due to gas explosions, fire, soot, or explosions such as gas stove explosions.
Loss or damage to permanently attached fixtures, such as kitchen or bathroom fixtures.
Loss or damage to floor material.
Loss or damage to windbreaks or patios.
Loss or damage to stoves.
Costs for cleaning and removing the debris caused by fire.
Costs related to rescue and firefighting operations.
What Is Not Covered?
Indirect loss or damage such as operating loss, or loss of rental income.
Costs due to clean-up of waste or toxic substances in the environment, or due to clean-up of earth or soil, resulting from a covered loss incident.
Are There Any Restrictions or Precautionary Rules?
The insured is required to comply with Vörður's precautionary rules.
The insured is responsible for ensuring that all equipment and installations at the insured location comply fully with applicable laws and regulations at all times, as relevant.
The insured must also comply with instructions or remarks issued by public regulatory authorities, such as the Housing and Construction Authority, fire departments, and The Icelandic Bureau of Weights and Measures (Löggildingarstofu).
Where Is The Insurance Valid?
The insurance is only valid on the location stated in the insurance policy certificate.
What Are The Insured's Obligations?
Provide all necessary information, whether in connection with the renewal or modification of the insurance.
Grant Vörður, if necessary, access to the insured property in order to inspect the building and its equipment.
Report any damage at the earliest opportunity and no later than one year from the date of the incident.
When and how is the insurance paid for?
The insurance premium must be paid on the due date. Upon renewal, the annual premium is adjusted in accordance with changes in the index from the base index of the agreement. Vörður sends payment claims monthly to online banking services, or annually if the policyholder prefers to pay the premium in a single installment. It is possible to change the payment method via Vörður's online service, “My Pages.” There, policyholders can also choose to pay premiums using a credit card.
When does insurance coverage begin and how does it end?
Insurance contracts are generally valid for 12 months from the date of acceptance of the offer and issuance of the insurance, and premiums are based on the annual premium. If the insurance is not terminated within that period, it is automatically extended.
How Is The Insurance Terminated?
The insurance can be terminated at any time during the insurance period. When cancelling the policy, confirmation must be provided that a new insurance policy has been established with another insurance company. As this is a mandatory insurance, Vörður is not permitted to terminate the policy due to non-payment of premiums.