Home insurance in Spain – what is worth knowing before purchase?

The decision is made: you are buying your dream apartment with a view of the Mediterranean Sea. You have already gone through the process of choosing the location, checked the land and mortgage registers, and perhaps you even have the keys in your hand. However, owning your own piece of paradise in Andalusia is not only about sunshine and coffee on the terrace but also about responsibility. One of the key elements you must take care of is insuring your apartment in Spain.

Although the Spanish real estate market is mature and safe, the local insurance realities differ from those we know in Poland. Before you sign a policy, it is worth understanding what exactly Spanish seguro de hogar protects you against.

Is home insurance in Spain mandatory?

This is a question I hear from my clients in almost every transaction. The answer is: it depends. From a purely legal perspective, if you buy a property with cash, the law does not impose a top-down obligation to have a policy. However, in practice, home insurance in Spain becomes essential in two cases.

First: a mortgage loan. If you are financing your property purchase in Spain with a Spanish bank, insurance against fire and accidental events (seguro de daños) is a statutory requirement. The bank needs to be sure that the loan collateral is protected.

Second: common sense. Even if you do not have a loan, and most housing communities (Comunidad de Propietarios) have insurance for the shared parts of the building, it does not protect the interior of your apartment nor cover your civil liability toward neighbors (e.g., in case of flooding). Considering that buying an apartment in Spain is a serious capital investment, the policy is simply a risk management element.

What types of home insurance are available in Spain?

When choosing apartment insurance in Spain, you will encounter two basic terms that you must know: Continente and Contenido.

• Continente (walls and fixed elements): covers the building’s structure, walls, roof, floors, as well as installations (water, electrical) and elements permanently installed, like built-in wardrobes or kitchen furniture.
• Contenido (movable property / contents): is everything you could take with you when moving: furniture, RTV/AGD equipment (TV and household appliances), clothes, jewelry, and personal items.

Most insurers offer Multirriesgo Hogar policies, which combine both these aspects, adding the extremely important liability coverage in Spain (Responsabilidad Civil). If you plan to rent out for tourists, you must ensure that your home insurance in Spain includes such business activity.

What does standard apartment insurance in Spain cover?

The standard policy in Spain is quite broad and often includes services that in Poland require additional fees. Typical apartment insurance in Spain protects against:

• Flooding (both your apartment and damage caused to neighbors).
• Consequences of weather phenomena (strong winds, heavy rains – which takes on special meaning after recent storms in Andalusia).
• Breaking of glass, mirrors, as well as ceramic plates and marble countertops.
• Damage to electrical installations (e.g., from power surges).
• Home assistance (Asistencia en el hogar), meaning sending a plumber, locksmith, or electrician in emergency situations.

It is worth knowing that in Spain there is an institution called Consorcio de Compensación de Seguros. It is a state entity that takes responsibility for damages resulting from extreme events (e.g., earthquakes or floods), provided you have basic apartment insurance in Spain.

What does protection against fire, theft, and burglary look like?

Fire protection is the foundation of every policy. In Spain, such a policy covers not only the effects of the fire itself but also smoke and rescue operations. However, when it comes to theft, the devil is in the details.

Spanish insurance companies distinguish between Robo (theft with force / burglary) and Hurto (theft without signs of breaking in, e.g., when you leave the door open). Standard apartment insurance in Spain always covers Robo, but Hurto often requires a policy extension.

What additional insurance options are worth considering?

Modern apartment insurance in Spain can be very flexible. As an intermediary with many years of experience, I often recommend my clients consider the following options:

• Legal protection: covers lawyer costs in disputes with the community or neighbors.
• Electronic equipment insurance: protection for laptops or phones even outside the home (e.g., in case of theft on the street).
• Insurance for landlords: protects against loss of rent if the tenant stops paying and covers the costs of property damage.
• Household appliance repair: some policies offer free servicing of refrigerators or washing machines once a year, which is very convenient for holiday properties.

Anti-okupas insurance – real protection against illegal occupants

An important aspect on the Costa del Sol is protection against so-called okupas (illegal occupants). Although standard policies rarely protect against the actual fact of property occupation, more and more companies offer legal add-ons that help with the eviction process and cover costs of damages caused by illegal occupants. This is a key argument for people wondering where is the best place to buy an apartment in Spain with regard to safe rental.

What does such a policy provide in practice? Primarily, it covers legal protection costs and lawyers’ fees during the eviction process, which in Spain can be time-consuming. Additionally, good insurance will reimburse you for utilities (water, electricity) used by uninvited guests and cover renovation and cleaning costs after reclaiming the keys. For investors who do not reside permanently in Spain, this extension is not only tangible financial assistance but above all great psychological comfort. It is an investment in security that makes your property purchase in Spain pure pleasure rather than a source of stress.

Summary

In summary, apartment insurance in Spain is not a cost but an investment in your peace of mind. Policy prices are relatively low compared to the property’s value and potential repair costs. Remember to carefully check the insured sums for Continente and Contenido before signing the contract, because underinsurance can be an expensive mistake in the event of damage.

If you need help contacting a trusted insurance agent in Marbella or Estepona who speaks your language, let me know. At Dream Property, we take care that your Spanish dream does not turn into a bureaucratic nightmare.

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