A flood. Photo by Andra Kirna
In the case of flooding caused by rainfall, the damage caused can be significant. Unfortunately, such cases are not unusual in the Estonian climate, which is why it is important to insure your home and vehicle early with a good partner and carefully read the terms of the insurance contract.
Recently, half a month’s worth of rain fell in a few hours in Tallinn, which led to a big flood on Reid Road. “Such situations occur from time to time in some parts of Estonia, where during a heavy rain, an underground garage or parking lot suddenly fills with water and cars are damaged,” said Liina Laks, Swedbank’s head of risk insurance.
A good comprehensive insurance is the car owner’s best assistant in case of floods, because the damage to the vehicle can be significant. The last heavy rain brought several calls from customers of Swedbank P&C Insurance AS related to vehicle damage, in which car repair companies are still determining the amount of electronic damage. For example, a vehicle that was left in the garage while its owner was away from Estonia was damaged due to heavy rainfall. The vehicle stood in the water for a long time, until the owner, returning from a trip, discovered the damage and contacted the insurance company. Another similar case, where the owner was able to react quickly to the rain that fell at night and to tow the car out of the garage did not save the damage, because due to the rain that fell in a short time, the water in the garage had risen up to the knees and had also got into the car.
“We do everything we can to make the compensation process quick and worry-free. We will inform our clients about the decision on compensation for damage no later than ten days after determining the circumstances of the damage and the scope of the damage and receiving all the necessary documents about the damage incident,” said Laks.
Smooth and fast cooperation has also been highly appreciated by our partners. For example, based on research by the Estonian Association of Car Sales and Service Companies (AMTEL), Swedbank P&C Insurance AS has been selected as the best insurance partner in Estonia for the third year in a row. More specifically, car repair companies value Swedbank’s quick response to price offers and acceptance of technically justified calculations in the repair process.
Choosing the right insurance partner is extremely important. “Before signing the contract, it is important to make sure which risks are covered, which exceptions must be taken into account and review other important points of the contract. If necessary, you can always ask for advice from the service provider. Familiarizing yourself with the terms of the contract gives you confidence in choosing the right insurance company and contract,” added Laks.
Even the home is not untouched by the floods
In addition to the car, a garage or house can also suffer major damage during strong storms. Therefore, it is important to think about home insurance. Last year, for example, Swedbank P&C Insurance compensated losses caused by natural disasters in approximately 450 cases. In total, Swedbank’s property insurance compensated natural disaster losses in the amount of more than 860,000 euros, and the average compensation amount was nearly 2,200 euros. The largest compensation for damages caused by heavy rain and the resulting flood was nearly 7,900 euros.
“To protect the home, it is always worth choosing three main insurance coverages in the contract: construction insurance, so that the home can be restored to its original condition in the event of an accident; home property insurance, which protects home furnishings and personal belongings, and liability insurance, which comes to the rescue in a situation where damage has been caused to someone else. It is mainly known that liability insurance is helpful if bursting water pipes caused a flood for neighbors, but liability insurance also helps if a pet scratches a neighbor’s car or you collide with a pedestrian while riding a bicycle, who demands compensation for causing bodily injury, explained Laks.
Did you know that Swedbank’s home insurance covers more damage than the excess, if
an accident occurs at home that makes it impossible to live there (e.g. a fire caused by lightning). In this case, home insurance reimburses the family for the rental costs of an equivalent temporary accommodation for up to 12 months. appliances (some household appliances) can be damaged due to voltage fluctuations caused by natural forces; storm winds damaged the expensive solar panels installed on the roof; rabies destroyed the greenhouse; fruit trees, potted or ornamental plants growing in the garden were killed in a fire caused by lightning (or in case of theft).
Be smart and check immediately what the conditions of your comprehensive and home insurance are, they may differ from company to company. It is reasonable to do this so that in the event of a loss, there is no unexpected surprise that some important protection is missing from the contract. An insurance contract with broad protection will also help you out of trouble if, due to unexpected weather conditions, you find yourself in a situation where the garage is knee-deep in water and, for example, the vehicle or property located there has been damaged.
Liina Laks
Head of risk insurance at Swedbank