Wherever you live, it is important to be covered by adequate insurance for any eventuality, so this is something that you need to consider and budget for when buying a villa in the Costa Blanca.
You will need to consider the type of property when arranging insurance cover when you buy a home in the Costa Blanca. Is it a completely private property, or are you living on an urbanisation where some costs may be communal? It is also important to accurately value the property itself, any private land that you have purchased with it and the value of your personal possessions, furniture, white goods, etc. The cover will need to include the building itself, contents, liability (including for pets if you have them, in case they cause injury to someone either within or outside of your property) and legal expenses. Additional considerations will be if you are renting your property, you will need this to be covered both to protect your home against damage, as well as in case a tenant injures themselves on something you own, and you will need to include damage from any extremes of weather. If you require a mortgage towards purchasing a property in the Costa Blanca, the bank providing this may insist upon a specific insurance company and coverage, so do make sure you are fully aware of the loan you are signing for and all the conditions. It is also beneficial because of the confusion that insurance policies can cause, even in our native language, that you choose a company that provides multilingual support and is familiar with the area where you have bought your property and any individual requirements that might entail.
Local Spanish Insurance companies will have extensive knowledge of the area and include Mapfre, Allianz, Reale and Linea Directa – although there may be some language barriers, most of these larger companies do have personnel that speak other languages and offer competitive rates. International companies might provide policies which are specifically tailored for expats but may have higher premiums, for example AXA and Zurich. The world of insurance can be confusing; some specialist brokers can help navigate this for you, compare prices and policies and handle claims on your behalf, although they do have to charge a fee for their services.
In case you might need to make a claim in the future, make sure that you keep a safe record of receipts and values for your belongings. Take measures to ensure that your premises are secure to reduce both risk and premiums. If you choose to take a policy with a higher excess, the premium will also be lower.
Car insurance is mandatory in Spain, and there is a choice of car insurance. The minimum cover required by law is Third-party, which covers your liability for any damage caused to a third party in an accident; for slightly better cover, Third-party, fire and theft, as suggested in the name, also covers your vehicle for fire and theft. Comprehensive is the most complete coverage and includes any damage to your own vehicle and third-party liability. Things to consider are the climate in Spain, with extremes in weather, including floods and hail at times when it does rain heavily, as well as the searing summer heat, causing fires close to your car. Tourist traffic can cause unexpected situations and increase the risk because of so many drivers being unfamiliar with both the roads and the hire cars they are driving. Even Fiestas can cause a rise if a stray firework lands near parked cars. Again, do compare providers, prices and policies before deciding and obtain more than one quote. Most providers do have support for those who are not fluent in Spanish; check this out, too.
If you become a resident in Spain after buying your home in the Costa Blanca, you will find that the free public healthcare you contribute to does provide excellent services and facilities, but, as with most countries, waiting lists can come into play when non-urgent procedures become necessary. Although many Doctors and Nurses do speak some other languages, this cannot be guaranteed, so you may need to have a translator with you for important consultations. Some people, therefore, choose to take out health insurance. If you are a non-resident or have retired here without contributing to the Spanish Social Security, you will need to be covered privately, too. The private sector can often provide faster access to specialist care and treatments, which may also include dental and cosmetic procedures (social security does not cover dental services in Spain, so this has to be paid for yourself, so that is also a consideration). You will have more freedom to choose the doctor or hospital if you need treatment, but you will have to factor monthly premiums into your budget. Private insurance may be particularly beneficial for those with pre-existing conditions if the provider is made aware and calculates the risk factor of that condition into the premium. Once again, it is essential to get quotes and compare policies.
In Spain, all pet dogs must be insured by their owners for civil liability. This provides cover in case your dog causes damage or injury to third parties and has been introduced to protect both owners, their pets and the public. Many house insurance policies can include this cover, so make enquiries and have this factored in or take out additional insurance. Currently, this insurance is not mandatory for cats and other pets, but a comprehensive pet insurance can give you peace of mind and financial protection in case of any unforeseen vet bills. Most pet insurances will cover your animal for treatments of various illnesses, accidents and related injuries, surgery and medication. Make sure that you know what limits the insurers have regarding age and pre-existing conditions, as well as the maximum cover provided.
Another factor to consider with all insurance when you buy a home in the Costa Blanca is to compare and consider the excess amount, which is what you will pay before insurance payouts start. When you know that you are covered for all eventualities, it will give you peace of mind and allow you to relax in your life in Spain.
