Expat Insurance in Spain

In the case of damages caused by natural phenomena such as extraordinary floods, earthquake, seaquake, volcanic eruption, are not being assessed or settled by private insurance companies but by the CONSORCIO DE COMPENSACIÓN DE SEGUROS (CCS)

We were even more surprised when it was confirmed that the quake, measuring 4.4 Richter scale, hit the town of Lorca (Murcia) just a few hundred kilometers away from the Costa Blanca and a few kilometers from the Costa Cálida. However, just two hours later we could follow, live on TV, the second and more important tremor of a magnitude of 5.2. It was tremendous to see how a bell tower from the 17th Century church crashed to the ground just a few meters from a TV cameraman. Nine people were killed by falling masonry in the second tremor, 130 people have been injured, with several in a serious condition and 10.000 people have had to be evicted from their homes. We all were immediately conscious about the seriousness of the events, even more if you are professionally involved with insurances. On Wednesday 11th of May we were all shocked when the first news arrived about an earthquake in Spain. From this article we want send our heartfelt encouragement to all the families in Lorca. From a professional point of view, that is an interesting and useful moment to know about how the Spanish insurance provisions do act in such kind of situations as it is quite different to the rest of European country policies. In the case of damages caused by natural phenomena such as extraordinary floods, earthquake, seaquake, volcanic eruption, atypical cyclonic storms and the falling of astronomic (sidereal) bodies or meteorites or those caused by violence as a consequence of terrorism, rebellion, sedition, riot and popular uprising are not being assessed or settled by private insurance companies but by the CONSORCIO DE COMPENSACIÓN DE SEGUROS (CCS) The CCS a public entity belonging to the Ministry of Economy and Finance and for each and any insurance policy being contracted in Spain, policyholders are paying part of their premium’ s taxes which are directly forwarded to this public entity. Just have a look on your policy receipts. You shall see a part of the taxes called “Consorcio”. These taxes are being managed by the CCS and form an important financial fund to provide enough cash-flow for such kind of catastrophic situations. The very important reason is that this public system protects victims from bankruptcy of private companies and also against private interests. This public system not only is responsible for an insured property, even for cars, personal damages, etc. CCS does also provide cover for those unfortunate traffic accidents happening against non insured third party. Based on our professional experience of over 25 years, the system is quiet effective! In such events, insurance companies have to inform in written, that the damages are not being settled by them due to the fact that they have been caused by an extraordinary cause and that you have to deal with it through the CCS. Your insurance agent / broker is legally not obliged to assist policyholders in such kind of situations or dealings but normally professionals do help clients, mainly Expat clients as we do really have the “know-how”. Professional insurance agents and brokers do sell proper products and do have the experience and the knowledge to guide you and assist you through such kind of difficult situations. Trust always in professionals with a proper background. THE EXPAT INSURANCE AGENCY Manuela Urselmann & Karen Courtenay Manuela: 687.798.572 (north) Or send us an email: This email address is being protected from spambots. You need JavaScript enabled to view it. We will be pleased to assist you in English, German or Spanish

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