This insurance covers the policy holder’s buildings and premises, which must be insured for their current value.
The risks usually covered by such policy are fire, flood, earthquake etc.
Insurance value is a bone of contention between the policy holders and the insurance companies.
Thereupon, it is crucial to determine this value taking into account the current prices of materials required so that the premises are restored to their initial condition.
Determining the value depends on the insurance method, such as: