Compulsory Earthquake Insurance Coverage
TCIP indemnifies the material damages - which are caused by earthquakes and the fires, explosions, tsunami and landslide that are caused directly by the earthquake within the limits stated in your policy.
The building parts - which are mentioned below - are covered collectively or separately:
- Main walls,
- Common walls separating the independent sections,
- Garden walls
- Retaining walls
- Ceilings and basements
- Supplementary sections of the building which have similar qualities to those mentioned above
Incidents That Are Not Covered by CEI
Compulsory Earthquake Insurance indemnifies the material damages in your building that are caused by earthquakes.
The losses which occur due to the following incidents are not covered:
- Debris removal costs
- Loss of profit
- Business interruption
- Loss of rent
- Alternative residence and workplace costs
- Financial liabilities and similar other losses which can be claimed
- All kinds of movable properties, goods, etc.
- All bodily injuries and death
- Non-material damages
- Losses which are not caused by the earthquake.
- Independently of the earthquake, damages which occur in time due to the flawed structure of the building
You can choose different homeowners policies for this type of losses in addition to your Compulsory Earthquake Insurance.
Maximum Sum Insured
With Compulsory Earthquake Insurance, TCIP aims at providing the insureds with the opportunity to go on with their lives after earthquake.
Expressing that "Earthquake will pass, and life will go on", TCIP provides maximum amount of insurance which is determined every year as per the increase in the construction costs. Maximum sum insured amount given by TCIP is 190 thousand TL for all building types as of 17 January 2018.
While determining the sum insured amount, the re-building costs of the damaged building (excluding the land value) are taken into consideration. The indemnity amount of the insured is determined according to the size and the building style of the dwellings on condition that it does not exceed the maximum sum insured.
In the event that the building's value exceeds the maximum sum insured given by TCIP, the insured person can receive additional cover from the insurance companies for the exces amount. You need to have a homeowners insurance policy provided by private insurance companies.
Buildings Covered By CEI
In a general, Compulsory Earthquake Insurance is an insurance system that is developed for the residential buildings which are within the municipality's borders.
Pursuant to Disaster Insurances Law no. 6305, the following buildings are covered:
- Buildings which are constructed as residential and registered in the land registry office under private ownership.
- Independent sections that are in the scope of Property Ownership Law no. 634
- Independent sections in these residential buildings which are used for business office, bureau and similar purposes
- Dwellings which are built by the state or with the loan given due to the natural disasters
Buildings Which Are Not Covered By CEI
Building types that are not covered by Compulsory Earthquake Insurance are as follows:
- Buildings which belong to public institutions and organizations
- Buildings which are built in the villages
- Buildings which are fully used for commercial and industrial purposes (Office Block / Business Center / Administrative Service / Training Center, etc.)
- Buildings whose construction is still incomplete
- Buildings constructed wihtout engineering principals
- Building whose main bearing structure has been weakened
- Buildings bearing structures designed and constructed against the building codes
- Buildings required to be demolihed by the public offices and those with insufficient quality for living and obsolote condition.
You can acquire Voluntary Earthquake Insurance for buildings which are not covered by CEI.
The village residences are not covered by the insurance due to the fact that general income level is very low, that no inspections are conducted on the buildings and that it is inconvinient to acquire the insurance.
However, it is possible to obtain Voluntary Earthquake Insurance, if desired, for buildings in village residential areas.
Similarly, it is possible to obtain Voluntary Earthquake Insurance for buildings that are used for commercial and industrial purposes through private insurance companies