With let property you are insuring a building you do not use yourself: what your tenant does there and how long the property stands empty determine the risk more than the structure does.
The calculator and the quote form below are in Dutch. Prefer to do this in English? Email info@finassverzekert. nl or call 072 - 509 24 56 and we will take it from there.
Work out for yourself what it would cost.
Enter your details; you will receive a proposal within one working day.
We compare the offerings of several insurers
An adviser checks whether the cover suits your activities
A premium indication, not personal advice. Prefer to talk it through? Call 072 - 509 24 56.
In brief
The core of a property policy is buildings cover on the basis of rebuild value: what it costs to rebuild the same property in the same place, including demolition, clearing debris and building requirements that are now stricter than when it was originally built. With business premises that value is systematically underestimated, with underinsurance as the result: a partial loss is then paid proportionately.
As the owner you are also the possessor of the structure. If someone is injured by a defect in the building, Article 6:174 of the Dutch Civil Code holds you liable, regardless of whether you knew about the defect. A facade panel coming loose, a stair rail giving way, a balcony with concrete rot: that is your risk and not the tenant's. If your property runs through one or more BVs, there is also directors' and officers' liability, but that is a different basis: there it is about your decision, here about the building.
A third section is loss of rent. If the property stands idle for months after a fire, the mortgage costs continue while the rent stops; buildings cover restores the fabric, not your cash flow. Broken glass you arrange with a separate glass cover.
The structure of the cover in three parts, with an overview per situation below.
The basics
Liability
AVB for property damage and injury, BAV for professional errors.
Damage to third parties
Employers' liability
Care, custody and control as an extension
Your business
Assets and continuity
Business contents, goods and lost turnover during downtime.
Business contents at replacement value as new
Goods at cost price
Business interruption or additional costs
If you employ people
Staff
Sickness absence, accidents and the traffic risk.
Continued pay for 104 weeks
Group personal accident
WEGAS for traffic risks
What is covered
Situation
AVB
BAV
Cyber
Injury to a visitor or customer
Yes
No
No
Damage to a client's property
Sometimes
No
No
Financial loss caused by an advisory or calculation error
No
Yes
No
Downtime after a ransomware attack
No
No
Yes
Data breach involving personal data
No
Sometimes
Yes
Damage to property in your care
No
No
No
This overview is general in nature and is not personal advice. What is actually covered, including exclusions, limits and the excess, is set out in the policy conditions and the insurance card (verzekeringskaart) of the insurer; you receive both before you take out cover. Taking out cover without advice? Then read what execution only means for you.
Where things go wrong in practice
Four points that make the difference between a policy that pays out and one that does not.
The tenant's use is the acceptance question
A property with offices, a property with a hospitality business and a property with a car spray shop are three different risks in the same building. Insurers accept on the basis of actual use, and that changes when you sign a new tenant. Include in the tenancy agreement that a change of use requires your consent, and report every change of tenant to the insurer. Otherwise the policy has been accepted on a situation that no longer exists.
Vacancy limits cover, even for a short period
As soon as a property is no longer in use, cover falls back with virtually every insurer to fire, storm, lightning strike and explosion. Water damage, burglary and vandalism then drop out, while those are precisely the losses that increase during vacancy. Ask from what period that applies and whether temporary management or a property guardian scheme keeps full cover in place. With a portfolio, a vacancy clause applying to the whole is worthwhile rather than one per property.
Tenants' reports form your file
Where there is injury from a defect, the question is what you knew and what you did about it. An email about a sticking fire door that lay unanswered for six months is your biggest problem when there is a claim. Record every report with the date, the response time and how it was dealt with, and keep the invoices for the repairs carried out. That same file proves to the insurer that there was no deferred maintenance.
What a property policy does not reimburse
Cover does not extend to subsidence, foundation repairs and the consequences of groundwater levels, or to gradual effects such as penetrating damp, wood rot and concrete rot. Deferred maintenance is not reimbursed, and damage the tenant suffers to their own fittings belongs on their business contents policy. If the property is used for cannabis cultivation or other illegal activity, cover lapses and the insurer can rely on Article 7:928 of the Dutch Civil Code.
What does your premium depend on?
Rebuild value per object. The established rebuild value of all the properties together forms the basis for the buildings premium.
Designated use and the tenant's sector. Housing, offices, storage, hospitality and production each have their own fire and liability profile.
Construction type and year of construction. The structure, roof covering, facade material and the age of the electrical installation weigh heavily.
Number of properties and their spread. A portfolio spread over several places has a lower maximum loss per event than a block of adjoining properties.
Vacancy rate. The part of the portfolio that is not let determines both the premium and the extent of the restrictive clauses.
Loss of rent period insured. The number of months for which lost rent is reimbursed counts as a separate section.
Insurers weigh these details differently. That is where your saving is.
How we arrange it
You request a quoteWe take stock of your activities, turnover and wishes.
We compareseveral insurers, on premium as well as conditions.
You receive a proposalWith an explanation of the differences and the exclusions.
We arrange the switchIncluding cancellation, so there is no gap in cover.
Customers rate our service on four aspects: personal service, service delivery, availability and the outcome. The reviews are collected and published by NH1816 and come from customers who have actually taken out a policy with Finass Advies B.V. or reported a claim.
On rebuild value, not on market value or WOZ (property tax) value. Rebuild value is what it costs to put the same building back in the same place, including demolition, clearing debris and the building requirements that apply now. Market value includes the land and so does the WOZ value; both lead to the wrong figure. Have a rebuild value calculation or valuation carried out and repeat it periodically.
My tenant has caused a fire. Can I recover that from them?
In principle yes, but many tenancy agreements contain a mutual waiver of recovery. If that is included, your insurer cannot pass the loss on to the tenant and pays without recourse. Without such a provision, it depends on whether the tenant is at fault. Deliberately align the wording of your tenancy agreements and your policy conditions on this point.
What happens if a property stands empty between two tenants?
Always report it, even if it is only a few weeks. Most policies limit cover during vacancy to the fire perils, and that often takes effect from the first day the property is no longer in use. With a portfolio you can agree a clause allowing a certain percentage of vacancy without notification per property. That saves administration and prevents gaps.
Do I need loss of rent cover if the rent keeps being paid?
After a major loss the property is unusable and the tenant is usually no longer liable for rent, while your finance costs and fixed outgoings continue. Loss of rent cover fills that gap for an agreed period. Look critically at that period: rebuilding business premises, including the permit process, often takes longer than the standard period in the conditions.
Finass Verzekert is a trading name of Finass Advies B.V. We advise on and arrange non-life insurance on the basis of an objective analysis of several insurers, and receive commission for this from the insurer, which is included in the premium. You pay no separate advice fee. Before you take out cover, we establish your wishes and needs.
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