Building insurance is always taken out for the entire residential complex. This often leads to arguments. Because there may only be damage in individual apartments – do they all have to pay?
At the Federal Court of Justice (BGH), a fundamental judgment on building insurance in owners’ associations is in the offing. This is about damage that occurs in a single apartment.
The question is whether the costs can be passed on to all owners if the insurance company only pays a part – or whether the person concerned has to pay the money out of their own pocket. The verdict is to be announced on September 16, as the judges in Karlsruhe announced on Friday at the end of the hearing.
If the damage occurs, for example, in the shared stairwell, the matter is simple – everyone has to contribute to the remaining costs. But what if the fitted kitchen is only affected in one apartment? “This problem has been hotly debated for years,” said presiding judge Bettina Brückner.
Homeowners insurance kicks in when a home is damaged or completely destroyed. Damage caused by mains water, fire and natural hazards such as storms and hail are usually covered. An additional policy often has to be taken out for elementary damage, for example due to flooding, heavy rain or landslides.
Unusual accumulation of water damage
In this specific case, it is a large plant in Cologne. Water damage occurs unusually often in apartments due to defective pipes. The deductible is now extremely high – 15,000 euros for every claim, according to the BGH hearing. So far, the property management has passed the costs on to all owners.
After the first deliberations, Brückner’s Senate tends to declare such a practice to be lawful in principle. The higher the deductible, the lower the insurance premiums — and eventually everyone would benefit, she said. This also applies if the deductible is necessarily so high, as is the case here. Because today there would probably be no insurer at all.
Nevertheless, the Cologne case is special. Because in addition to many small apartments, there is also an almost 1000 square meter commercial unit in the complex, which until recently was a supermarket. Because of the huge area, the owners always have to contribute a lot of money in the event of water damage – according to their own statements, they have never been affected. With their lawsuit, they at least want to ensure that they are exempted from the distribution of costs.
According to Brückner, a differentiation could actually be necessary here. The Cologne district court would have to negotiate again because there were no findings. (Ref. V ZR 69/21)
Source: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
