Mortgage insurance (for clients of JSC CB "PrivatBank")

Property under the right of ownership and/or use and/or disposal, namely: real estate (immovable property) that is the subject of a mortgage, associated with the insurance interests of the Policyholder (Beneficiary), and the insurance risks covered under the insurance contract.

Insurance risks: 

• Natural phenomena (earthquake, landslide, collapse, rockfall, subsidence of the earth's surface, karst sinkhole, soil erosion, rockfall, heavy rainfall, hail, heavy snowfall, snow pressure caused by heavy snowfall, severe frost, extreme heat, strong winds including squalls and tornadoes, severe dust storms, heavy snow sticking, high water levels (floods, inundation), groundwater rise, avalanche, mudflow, thick fog, windthrow, lightning strike, tree fall);
• Fire;
• Explosion;
• Smoke damage;
• Construction/reconstruction works on real estate objects located near the insured property or on neighboring premises not owned by the Policyholder;
• Fall of manned aircraft, their parts, cargo and luggage carried by them, as well as fuel spillage;

• Collision with the insured property or impact on this property by vehicles or technical means, moving under human control or autonomously, using any type of energy;

• Accidents in heating, water, gas supply systems, electrical networks, industrial accidents (including release of overheated masses, spread of toxic gases and vapors, leakage of aggressive substances);
• Fall of poles, lighting masts, or other structures, except when caused by incorrect installation or assembly;
• Illegal actions of third parties: hooliganism, theft, robbery, assault, intentional destruction or damage to property (vandalism, arson, explosion), except for such actions occurring during civil war, public unrest, strikes, or as a result of a terrorist act;
• Exposure to water and/or other liquids in case of an accident (including damage, rupture, freezing) of water supply, sewage, heating, or fire-extinguishing systems and/or penetration of water and/or other liquids from neighboring premises, caused by:

- rupture or freezing of water supply, sewage, water and steam heating systems, including taps, hydrometers, radiators, steam boilers, boiler rooms, water/steam heating equipment, fire extinguishing systems;

- sudden damage, rupture, or freezing of taps, valves, tanks, bathtubs, radiators, boilers directly connected to water supply, sewage, and heating systems.

An insured event is the occurrence of losses by the Policyholder (Beneficiary) due to damage or destruction (loss) of the Insured property caused by the occurrence of insured risks.

Insurance limitations:

Insurance under the Contract does not apply to:

• intellectual property objects, property rights, intangible assets;
• property, equipment located on exterior walls and/or roofs of buildings/structures (including signs, advertisements, canopies, shutters, antennas, except for equipment intended for installation and operation directly on walls or roofs);
• models, mock-ups, teaching aids, exhibition samples, prototypes of any products in the form of devices, machinery, technological equipment, vehicles, buildings;
• cash, money in any currency, payment cards, payment instruments, shares, bonds, securities, acts, certificates of ownership or monetary obligations, excise stamps, drawings, diagrams, manuscripts, photographs; data carriers;
• works of art, antiques, collections, collectible items, stamps, coins, banknotes, drawings, paintings, sculptures, vintage or classic cars, furs and fur products;
• engineering structures including railways, roads, dams, reservoirs, tunnels, bridges, docks, piers, quays, aboveground/underground water bodies, canals, pipelines (not an integral part of the building or technological process), drains, trenches, pavements, yards, and other paved surfaces;
• vehicles allowed for use on public roads, locomotives, rolling stock, self-propelled machines, watercraft, air and space transport;
• plants, crops, trees, pastures, animals, birds, fish, and other living creatures;
• unfinished construction, buildings, structures under construction/installation works, unused buildings/structures and property located therein;
• personal property of the Policyholder’s employees (clothing, special literature, cars, bicycles, bags, musical instruments, tools, etc.).

The full list is provided in the General Terms of the standard insurance product "Insurance of real estate (property) that is the subject of a mortgage, against the risks of accidental destruction, accidental damage, or deterioration", available at: https://uniqa.ua/storage/public-offer/partner-reports/2213_ipoteka_umovy.pdf 

The insurance amount is determined as the full value of the property (or its replacement value) that is the subject of the mortgage, but not less than the value specified in the mortgage agreement.

The insurance premium depends on the amount of insurance coverage and the selected insurance terms.

Minimum and maximum annual tariff rate – from 0.06% to 1.088% of the insurance amount under the contract.

Insurance premium = tariff × insurance amount.

The deductible is established by agreement of the Parties in the following amounts: 1%, 2% or 3% of the total insurance amount under the contract, deducted when calculating compensation for each insured event.

Type of deductible: unconditional.

Insurance territory: the address of the Insured property, within the territory of Ukraine.

The insurance contract does not apply:

to the temporarily occupied territories of Ukraine defined by Ukrainian legislation, as well as to territories where state authorities or local self-government bodies temporarily do not exercise their powers, and to settlements located on the demarcation line or in zones of military actions of any kind, regardless of the official recognition of war under the law.

The contract does not apply to territories where a state of emergency has been officially declared, or to zones recognized by competent state authorities as zones of potential natural disaster, if such declaration was made before the conclusion of the Contract.

Contract term – 12 months.

The insurance period is set for 12 (twelve) months if the premium is paid in a single installment. If the insurance premium is paid in parts, the insurance period corresponds to the period for which the relevant part of the premium is paid.

The contract enters into force at 00:00 (Kyiv time) on the date specified as the beginning of the Contract, but not earlier than the day following the payment of the insurance premium by the Policyholder (or the first installment if the premium is paid in parts), in the amount specified in the Contract, to the Insurer’s account.

The contract is valid until 24:00 (Kyiv time) on the date specified as the end of the Contract, unless other circumstances result in its early termination.

Failure of the Policyholder to fulfill obligations under the contract is grounds for denial of insurance payment. If the insurance premium / its first installment is not paid in the amount and within the terms specified in the contract, the contract is considered not concluded (unless otherwise agreed by the parties and specified in the insurance contract). If the next installment is not paid in the amount and within the terms specified, the contract terminates (unless otherwise agreed by the parties and specified in the contract).

The contract is an addition to banking services under the Credit Agreement concluded by the Policyholder with JSC CB “PRIVATBANK”. In connection with the conclusion of the Contract, there is no need to obtain additional or related services from the Insurer and/or third parties related to the provision of financial services under the Contract.

Discounts and promotional offers are not available and do not apply.

Before concluding the Contract, the Policyholder is obliged to provide the Insurer with information that is essential for the Insurer’s decision on concluding the Contract and/or on the amount of the insurance premium under the Contract, and during the term of the Contract, no later than 5 (five) working days after any changes, to notify the Insurer in writing of any change in circumstances that are essential for the assessment of the insurance risk (determining the probability of an insured event and the amount of possible losses) and/or other circumstances that affect the amount of the insurance premium under the Contract.

Information essential for the Insurer’s decision on concluding the Contract and/or on the amount of the insurance premium under the Contract and/or for the assessment of the insurance risk includes:

• information contained in the Policyholder’s Application for insurance;
• details of the Insured Property specified in the Contract;
• losses related to the Insured Property that occurred before the conclusion of the Contract (including under insurance contracts with other insurers);
• all valid insurance contracts concluded with respect to the Insured Property;
• the existence of legal grounds and insurable interest of the Policyholder and Beneficiary for concluding the Contract.

This insurance product requires the consumer to review the information in advance in order to make an informed decision on concluding the insurance contract.

The consumer must review, prior to concluding the insurance contract, the information on exclusions from insured events and grounds for refusal of insurance payments, limits of the insurer’s liability for a specific insured object, insurance risk and/or insured event, as well as the procedure for calculating and conditions of insurance payments contained in the General Terms of the insurance product “Insurance of immovable property (real estate) pledged as mortgage against risks of accidental destruction, accidental damage or spoilage”, available at the link: https://uniqa.ua/storage/public-offer/partner-reports/2213_ipoteka_umovy.pdf