Luxembourg regulations do not make home insurance compulsory for owners of a house or apartment.

However, your bank may require proof of home insurance when setting up a mortgage. This requirement aims to protect their investment against major disasters, such as fire or water damage.

In addition, an uninsured owner will have to bear the costs of repair or reconstruction alone in the event of a disaster. These costs can quickly reach considerable amounts, putting your real estate assets at risk. Taking out home insurance therefore represents essential financial protection for your property.

The purchaser of a property must have taken out a home insurance contract at the time of signing the deed of sale. It is best to contact your insurance company as soon as the compromise is signed to anticipate coverage for the new property.

The contract can be terminated upon signing at the notary's office. The seller can terminate the home insurance contract by registered letter with acknowledgement of receipt to the insurance company, or by contacting their agent. They must attach a copy of the deed of sale to their termination request.

The home insurance for the sold property will be terminated on the date of sale and the seller will receive the remainder (from the time of termination to the contract expiry date).

As a buyer, here are some essential guarantees that you must include in your contract with your insurance company. Make sure that they are included in the basic offer or that you take out the necessary guarantees to properly insure your home.

• Liability insurance protects against damage caused to neighbours, such as a water leak damaging the apartment below.
• Insurance against theft-vandalism reimburses the replacement of stolen goods and the repair of damage caused during a break-in.
• Insurance against water damage covers repairs following pipe leaks or infiltration through the roof.
• Insurance against glass breakage covers the replacement of accidentally damaged glass, windows and patio doors.
• Protection against natural disasters covers damage caused by floods and storms, which are common in Luxembourg.

When you take out home insurance, explain all your needs to your insurer to ensure that your plan best meets your needs.

Have you purchased a property under construction or are you renovating a house? Building or renovating a home requires special attention in terms of insurance. The construction site must be protected as of the first shovelful, even if you do not yet live there.

Protect your property right from the start of the work with suitable “house under construction” home insurance. This specific protection includes several levels:

• As of the start of work: protection against major risks: fire, storm, explosion, lightning, vandalism, inclusion of the project owner's civil liability guarantee; protection against claims by neighbours and third parties
• Once the building is closed and covered: extension of protection to water damage, frost, hail, weight of snow. This also activates theft cover if the accommodation is equipped with the means of protection and closure required for theft/vandalism coverage

This evolving insurance is adapted according to the phases of the project, to ensure continuous protection. From the moment you move permanently into your home, all the other guarantees of your contract apply under the conditions specified in your specific conditions.

Be aware that this insurance does not replace comprehensive construction insurance. The latter will cover damage resulting from construction-related hazards. Comprehensive construction insurance will also cover equipment, materials, workers and anything temporarily linked to the construction site.

Do not wait until the end of the work to contact your insurer. An early declaration allows you to benefit from suitable coverage and avoid any periods without protection.

As long as you own the property you are required to have current home insurance.

However, if your property is empty and not rented, you can contact your insurer to reduce your contract to a minimum and switch it to non-occupying owner.

Baloise supports you in this important step with personalised insurance solutions, such as the Home offer, which adapts to your specific situation.

Do not hesitate to contact an agent to be guided in studying the best protection for your property, whether you are in the purchase, sale or construction phase.