Reconstruction Value Index (IE) – Update

Building Insurance Capital Update

For the first quarter of 2026, ASF has set the increase in the multi-risk insurance index at 1.83%, which will be the percentage by which the insured capital of multi-risk condominiums renewing in January, February, and March will increase. For the second quarter, the increase will be 4.46%.

Speaking in Concrete Numbers

Information about the Proportional Rule

Please note that if the value of your insurance is below the actual cost of reconstruction, the insurer willnot pay for the entire damage. This is called the"proportional rule."

Simple steps to follow if you find yourself in the following situation:

1. When you receive your insurance renewal letter,DO NOT IGNORE IT. Look at the document and check the“Insured Capital”or“Insured Value”for thePROPERTY/BUILDING.

2. THINK TWICE before refusing the increaseproposed by your insurance company. Saying "no" may save you 20 or 30 euros on your annual premium, but it could cost youtens of thousands of eurosif you have an accident.

3. When in doubt, simulate.There is a free online tool from the Portuguese Insurance Association called "Property Reconstruction Cost Simulator". With some information about your home (area, location, type of construction), it gives an estimate of the current cost.

Learn more about replacement value on our replacement value FAQ page.