Reconstruction 2022
In the case of property insurance, the amount to be insured should be the reconstruction value. In the case of contents insurance, the replacement value of all items included in the contents should be insured (for example, if you have a television, you should insure the current value of a television with the same characteristics and not the value that the television cost in 2000).
What is the reconstruction value?
The reconstruction value is what it would cost to build the property or unit in question from scratch. And what is that value? The most appropriate thing would be to ask a builder and insure for that amount, but this is often difficult to achieve.
Based on information provided by APROSE, we would like to inform you that numerous members have expressed an interest in maintaining access to the traditional method – and despite its availability to the general public since March 15, 2021, by the Portuguese Insurance Association (APS),of a simulator for calculating the cost of rebuilding houses or apartments (SCRIM), the values per square meter of the price of housing construction to be in force in 2022, calculated according to the method traditionally accepted by the overwhelming majority of insurers operating in Portugal prior to the launch of the aforementioned simulator, are as follows:
2022
In zone I: €830.03 – representing an increase of €3.55 per m2 (€826.48 / 2021);
In zone II: €725.56 – representing an increase of €3.10 per m2 (€722.46 / 2021);
In zone III: €657.35 – representing an increase of €2.81 per m2 (€654.54 / 2021).
Zone I
Comprises all municipalities that are district capitals (Aveiro, Beja, Braga, Bragança, Castelo Branco, Coimbra, Évora, Faro, Guarda, Leiria, Lisbon, Portalegre, Porto, Santarém, Setúbal, Viana do Castelo, Vila Real, and Viseu), municipalities in the Autonomous Regions (*) (**) and also the municipalities of Almada, Amadora, Barreiro, Cascais, Gondomar, Loures, Maia, Matosinhos, Moita, Montijo, Odivelas, Oeiras, Póvoa de Varzim, Seixal, Sintra, Valongo, Vila do Conde, Vila Franca de Xira and Vila Nova de Gaia.
Zone II
Abrantes, Albufeira, Alenquer, Caldas da Rainha, Chaves, Covilhã, Elvas, Entroncamento, Espinho, Estremoz, Figueira da Foz, Guimarães, Ílhavo, Lagos, Loulé, Olhão, Palmela, Peniche, Peso da Régua, Portimão, Santiago do Cacém, São João da Madeira, Sesimbra, Silves, Sines, Tomar, Torres Novas, Torres Vedras, Vila Real de Santo António, and Vizela.
Zone III
Remaining municipalities on the mainland.
Value should also be assigned to improvements, elevators, condominium machinery, walls, and fences.
However, these values are the minimum for reconstruction, and in the event of a claim (total loss) they may be insufficient, so we recommend a higher value, depending on the level of construction quality.
Can I hold it for less capital?
You can, but you shouldn't. This is the main reason why companies do not pay the full amount of claims. If, for example, the property is worth €100,000 and the insurance is only for €50,000, in the event of claim , the company will claim pay the insured percentage, in this example 50%.
The same applies to contents. There are some types of coverage that operate on a "first risk" basis, where this rule does not apply (usually electrical risks).
The figures for 2023 are now available on our website.
Please do not hesitate to contact us.
(*) Madeira Archipelago: Calheta, Câmara de Lobos, Funchal, Machico, Ponta do Sol, Porto Moniz, Porto Santo, Ribeira Brava, Santa Cruz, Santana, and São Vicente. (**) Azores Archipelago: On the island of São Miguel, there are the following municipalities: Lagoa, Nordeste, Povoação, Ribeira Grande, Vila Franca do Campo, and Ponta Delgada; On the island of Pico, there are the following municipalities: Lajes do Pico, Madalena do Pico, and São Roque do Pico; On the island of São Jorge, there are the following municipalities: Velas and Calheta; On the island of Flores, there are the following municipalities: Santa Cruz das Flores and Lajes das Flores; On the island of Terceira, there are the following municipalities: Praia da Vitória and Angra do Heroísmo; On the island of Graciosa, there are the following municipalities: Santa Cruz da Graciosa; On the island of Faial, there is the municipality of Horta; On the island of Santa Maria, there is the municipality of Vila do Porto; On the island of Corvo, there is the municipality of Corvo).