Insurance questions before buying a home abroad
Help a buyer request comparable insurance proposals for a holiday or rental property. Check declared use, exclusions, excesses and who is responsible for cover.
"The building is insured" sounds reassuring, but a buyer still needs to know what that statement covers. It may not answer questions about their belongings, a private pool, guest activity or a period when nobody occupies the property.
A referring agent should help the buyer gather the right questions, not choose insurance beyond their competence or authorisation. The policy wording and professional advice determine the protection. This guide is a preparation checklist, not a recommendation of a policy or insurer.
Describe how the property will actually be used
Before asking for a quote, identify the intended pattern of use: personal stays, long absences, longer tenancies or other rental arrangements. Tell the insurance professional what is uncertain. A policy discussion based on permanent owner occupation may not describe the buyer's plan.
Ask who must be named or otherwise identified in the proposal, especially when the owner, occupier and contracting party are different. Do not decide this from a marketing description of the ownership structure. Give the insurer the information they request through an appropriate secure channel.
If use changes later, the owner should ask their provider what notification or amendment is needed. Do not promise that a policy arranged before purchase automatically continues unchanged after a new rental operation starts.
Identify the property interests separately
For an apartment, request an explanation of the building's insurance arrangements and what the individual owner is expected to arrange. For a house or villa, clarify buildings, contents and any separately specified equipment or structures.
The same question applies to furniture supplied by a developer, equipment under a management agreement and items the owner adds later. Ask who bears the loss and which policy, if any, is intended to respond. A maintenance obligation is not automatically insurance cover.
Do not accept a general statement that the development has "full cover" as a substitute for the relevant documents and an explanation from the responsible professional.
Compare two quotations on the same assumptions
Record the property address or unit, declared use, insured interests, cover period and currency. Then compare the proposals against the same risk description.
| Item | Question for the provider |
|---|---|
| Exclusions | Which relevant events or uses are excluded? |
| Excess or deductible | What amount does the owner bear for a claim? |
| Limits | Are there separate limits for particular items or events? |
| Conditions | What inspections, security or maintenance are required? |
| Claims | Who reports a loss, how and within what requirements? |
The purpose is to expose differences, not to score an insurer using an improvised formula. A lower premium may reflect different cover. Ask the professional to explain the consequences in the buyer's preferred language.
Check what happens while the owner is abroad
Ask who can provide access after an incident and who keeps photographs, invoices and repair records. If a manager is expected to help, confirm that service in the management arrangement. Do not assume the manager has authority to settle a claim.
The buyer should understand the provider's process for urgent protective work and claims evidence. Avoid giving blanket instructions to start repairs or admit liability; those decisions depend on circumstances and policy conditions.
Keep insurance separate from the purchase recommendation
If appropriate cover has not been confirmed, record it as an open task. Do not describe an investment as protected just because an indicative quote exists. Insurance also does not make future rental income or resale prices certain.
The IBG buyer introduction process can help an agent organise the enquiry. Confirm which specialists need separate appointments and which after-purchase tasks are actually agreed. The property team's involvement does not replace insurance advice.
Sources and scope
Original IBG Property editorial questions for a qualified insurance professional. No country-specific insurance rule, premium or insurability is asserted here. Programme scope: IBG agent workflow. Obtain advice and the actual policy wording for the buyer and property.
Understand the partner process before introducing a buyer
Review the roles, client permission and cooperation terms. You can create a free agent account before you have a buyer enquiry.
Registration is not a completed transaction or an earned commission.