Vancouver Strata Homeowners And Renters Are Now Advised To Have Separate Insurance Coverage

Things you will need to know when insuring your home or condo in British Columbia
By: Elliott Appraisals
VANCOUVER, British Columbia - June 9, 2018 - PRLog -- Turns out that having the building strata handle your insurance coverage needs, may not be enough in this day and age of home ownership in Metro Vancouver and the Fraser Valley. Without having the right Vancouver Insurance appraisals prepared correctly, homeowners and renters could be left with paying for any damages even if they are covered. The Province of British Columbia now requires strata corporations to maintain full replacement cost insurance on the buildings. The technicality effects both the homeowner and renter who are relying entirely on strata, and if something happens that is not covered, they could be on the hook for all the replacements costs.  Well aware of this requirement and trying to protect owners, Elliott Appraisals has set up a Vancouver insurance appraisals program specifically for British Columbians that will review what the status and coverage is for homeowners. The company is committed to making sure the homeowners are made aware of this need, as time and time again, they have seen people scrambling to find out what is and what is not covered on their biggest lifetime investment.

A Vancouver based company, Elliott Appraisals is committed to ensuring homeowners recognize that property insurance must cover the full replacement value and insure against major perils as listed in the new BC regulation including: The perils of fire, lightning, smoke, windstorm, hail, explosion, water escape, strikes, riots or civil commotion, impact by aircraft and vehicles, vandalism and malicious acts.

Mark Elliott owner of Elliott Appraisal states, "Over the years of appraisal experience we've seen many properties, particularly those that are self-managed, not have an updated Vancouver insurance appraisal report prepared.  In situations like this, they may be relying on values that have been updated based on metrics like generic inflationary factors obtained from various sources in the public domain."  He further added that, "Given current trends with local construction materials and labour, this practice can lead to significant exposure if there is a loss on the property."

Over the years as the Vancouver real estate market has grown exponentially, and with some developments going up so quickly, usually only the basics insurance requirements are covered.  For example, in the province, liability insurance must be for a minimum of $2 million and if anything over that, it will come out of the homeowners and renters pockets. Not only that, but If the property has a co-insurance clause (i.e. penalty applied for being under insured) in the insurance policy, and there is a partial or full loss on the property, the strata could be faced with a bill of several hundred thousand dollars as a result of the co-insurance clause. A skilled and fully accredited appraiser like Elliott Appraisals can catch things like this; in addition to completing a detailed insurance appraisal of the condominium development and provide the requirements in a formal and certified report.

Some disaster scenarios are not even required to be covered. It's widely known that BC is anticipating an earthquake at anytime, and earthquakes are not listed by the government regulation and is not required as mandatory strata corporation property insurance. But even a medium sized tremor can cause building damage or cracks in the foundation which could have a large impact on the integrity of the structure.

Mark further added that, "We evaluate everything, even such things as household appliances and earthquakes that are typically not included in the strata corporation's property insurance coverage.  Or why the strata corporation may also want to purchase coverage, if available, for water damage, severe weather losses or other possibilities."  Elliott Appraisals protects clients by advising them that the condominiums declaration and/or by-laws may have specific requirements relative to the completion of an insurance appraisal, such as appraisals must be completed every 3 years with updates in the interim years.

About Elliott Appraisals:

Elliott Appraisals is a certified British Columbia owned and operated real estate and insurance appraisal company that has been specializing in providing services for the local Lower Mainland real estate industry for over 20 years. The company is widely known in the Vancouver insurance appraisals community to provide excellent service, knowledge, while paying close attention to details and understanding on all facets of strata appraisal, which has earned them credibility in the marketplace with outstanding results for their customers. Services include providing both real estate and insurance appraisal services for the Metro Vancouver and Fraser Valley areas. Advising for a wide variety of clients, Elliott Appraisals focuses on the industries of Banks, Credit Unions, Private Lenders, Mortgage Brokers, Notaries, Estate & Family Lawyers, Accountants, Insurance Underwriters & Brokers, Strata Councils, Individual Buyers/Sellers, Business Owners and Investors.

Contact: Mark Elliott
Phone: 604-313-7598
Source:Elliott Appraisals
Tags:Real Estate, Vancouver
Industry:Real Estate
Location:Vancouver - British Columbia - Canada
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