The purpose of the structural damage insurance is to be reimbursed quickly in the event of a claim covered by the ten-year guarantee, without having to wait for the outcome of a court case.
For co-ownership managers, it is extremely important since it guarantees the work undertaken, in the interest of each co-owner.
The obligations of the co-ownership manager in terms of damage to the work
Structural damage insurance is a complementary guarantee to ten-year insurance. Unlike the latter, for which each craftsman is required to be insured up to the level of the work carried out, the work damage insurance must be taken out by the co-ownership manager.
It guarantees rapid payment for work falling within the scope of repairs provided for by the ten-year guarantee. It is therefore work resulting from damage compromising the solidity of the structure or rendering the building unfit for its intended purpose.
Structural damage insurance is therefore compulsory as soon as the co-ownership manager accepts work of this nature. If it is unnecessary for repainting the common areas of a building or changing mailboxes for example, it is essential for repairing the roof or insulating the exterior facades.
The responsibility of the trustee within the framework of the works
The trustee is subject to a certain number of obligations within the framework of his missions. In terms of structural damage insurance, it is liable if it does not comply with certain rules:
- The trustee must inform the co-owners, in assembly, of the nature of the work to be carried out and of the obligation to take out damage to the work for some of them.
- The trustee must keep the insurance contract, the endorsements and all documents concerning the work damage guarantee for the duration of the ten-year liability.
- To this end, if compensation is paid by the damage-to-work insurance, the trustee must retain proof thereof and inform the co-owners of the nature and amount of the repairs.
- In the event of the transfer of an apartment or a building managed by the trustee, the documents relating to property damage insurance must be appended by the notary to the deed of sale.
- The trustee must keep and transmit to his successor the current damage-to-work contracts.
In the event of a breach of his obligations, or worse, of non-subscription of the work damage guarantee, the trustee is liable to penalties liable to involve his professional civil liability. He faces, among other things, up to six months in prison and a fine of 75,000 euros.
The guarantees offered by the structural damage insurance
Structural damage insurance must be taken out no later than the day of the launch of the construction, renovation or rehabilitation site of a property which the trustee manages.
It provides joint ownership of compensation and rapid repair of damage resulting from a defect in the ground or a construction defect. The major advantage of structural damage insurance lies in the fact that it does not wait for the ten-year guarantee to intervene.
We understand all the more the importance of the damage structure when we know that some companies responsible for claims quickly file for bankruptcy. Legal proceedings against them, if they have been closed within ten years, are then relatively long and expensive.
It should be noted that the damage-to-work guarantee can only intervene after the expiry of the guarantee period of “perfect completion of the work”. Or a year of waiting. Two exceptions exist and allow immediate repairs:
- If the contract concluded with the speaker is terminated by the property manager for non-compliant or incomplete work, before acceptance of the work and after formal notice
- If the intervenor, having completed the work, does not repair the defects duly noted in the first year, despite the formal notice of the trustee
In other words, the work damage insurance replaces the ten-year guarantee and the guarantee of perfect completion if the company having carried out the work is manifestly in bad faith or disputes the damage.
How to bring into play the structural damage insurance?
To activate the guarantees provided for in the insurance contract, the trustee must contact his insurer quickly. The deadline for declaring claims is five days from the discovery of the damage.
The trustee must then send a registered letter with acknowledgment of receipt to the insurer, in which he mentions the insurance policy number, the nature of the incident and any conservation measures already undertaken.
If the damage is effectively covered by the work damage guarantee, the insurer must offer compensation no later than 90 days following the declaration of the loss.
The amount allocated must be used exclusively for the payment of repair work to the exclusion of any other use.
Co-ownership trustee, how to subscribe to a work damage?
Not all insurers cover the risk. Indeed, the loss rate is relatively high in terms of structural damage. To find an insurer without being constrained by tight deadlines or prohibitive prices, the trustee is advised to do it upstream.
You can call on a broker to find a property damage contract for you. But the best solution is to use an online simulator specializing in comparing offers.
You will obtain, without obligation, the list of insurers who agree to cover you for structural damage, while being able to compare without stress the levels of guarantee and prices offered before subscribing.