Is building insurance mandatory?

Home insurance is not mandatory, but it is highly recommended. Building insurance provides financial protection against damage to the structure of a building, such as the walls, roof, floors, windows, doors, etc. The insurance also covers damage caused by fire, theft, storm, flood, earthquake and other natural disasters.t is highly recommended. Building insurance provides financial protection against damage to the structure of a building, such as the walls, roof, floors, windows, doors, etc. The insurance also covers damage caused by fire, theft, storm, flood, earthquake and other natural disasters.