Fire insurance is a form of property insurance that covers damage and losses caused by fire. Most policies come with a coverage of lightning protection alongside fire, as a basic insurance policy. It is highly encouraged that clients get a comprehensive fire/ property insurance that protects for all possibilities, especially in the Philippines where we are mostly hit by several typhoons. It’s a small price to pay for peace of mind, if and when the time comes. 

A comprehensive fire/ property insurance includes superior protection against other unforeseen circumstances such as earthquake, earthquake shock, floods, typhoons, riot, strikes and extended cover (explosion, falling aircraft, smoke, vehicle impact), as well as broad water damage, and BOWTAP (bursting or overflowing of water tanks, apparatus or pipes) that are could be more frequently occurring in buildings and condominiums. Purchasing a comprehensive fire coverage helps to recoup the cost of replacement, repair, or reconstruction of property above the limit set by the property insurance policy. Fire insurance policies typically contain general exclusions such as war, nuclear risks, volcanic eruption and similar perils. Damage caused by a fire set deliberately (arson) is also typically not covered. A 2% deductible on each claim or series of claims arising from one occurrence is a standard provision. The premium for this type of insurance is based on the total sum insured and should include the amount for home/ building improvements and/or renovation for a more accurate and fair pricing and coverage. If not being rented, the fire insurance should also cover the contents of the property, if you want the best coverage. It’s always better to be safe than sorry.