Línea Directa launches squatting protection insurance for customers of any company
 

• Línea Directa Aseguradora has begun to market cover for squatting as independent insurance, which can be arranged with no need to have taken out a Home policy. It is also available to customers who have insured their homes with other companies.
• The cost of the insurance in 24 euros per year when taken out independently, falling to 10 euros per year for new customers and existing customers who associate it with their Línea Directa Home policy. Currently, 60% of new Línea Directa Home insurance policies are arranged with this cover. 
• This specific cover, which is complete and unique in Spain, gives home owners wide-ranging protection from the legal and financial consequences of squatting of their home.
• This cover includes legal assistance to recover the property and compensation for the occupation of the home, payment for utilities, rental losses, the cost of alternative accommodation and damage to third parties. The product's cover adds up to33,900 euros, or more if the repair work on the property is done through Línea Directa's network of repairers.

Madrid, 24 April 2024. Following its positive welcome by the market, Línea Directa Aseguradora has started marketing its complete and specific cover for squatting - which was initially launched as optional cover linked to its Home insurance policy - as an independent insurance policy. This policy can now be bought separately. It can even be bought by customers who have insured their homes with other insurers.

The product costs 24 euros per year if it is contracted on a stand-alone basis. The cost for new customers and current policyholders who add this cover to their Home policy is 10 euros per year.

Being aware of the damage squatting causes to home owners, Línea Directa launched this cover in June 2023. This cover is unique in the Spanish market as it covers both legal assistance to retake possession of the property and financial compensation for the costs of break-ins and occupation.

By offering this cover separately, the company is responding to the high interest in this product among customers. In the ten months since its launch, six out of ten customers who have taken out Línea Directa's Home policy have also purchased its squatting cover, which was previously linked to its home insurance. The policy provides peace of mind for home owners against the risk of squatting, with cover that amounts to 33,900 euros, or more if the repair work on the property is done through Línea Directa's network of repairers.

Legal cover for out-of-court and judicial proceedings

This insurance includes unlimited legal advice by telephone and recovery of the property through out-of-court and judicial proceedings. When it is informed that a property is being squatted, Línea Directa will make up to three out-of-court attempts to recover the home. If this out-of-court route fails, proceedings are initiated through the courts. 

The claim lodged by Línea Directa covers up to 10,000 euros in legal costs, including the costs of lawyers, notaries, solicitors, experts fees and expenses, and court costs and fees. The cover also includes freedom to choose a lawyer, up to 5,000 euros.

Compensation for repairs and other damage

The company also takes responsibility for repairing the home. The owner can choose between the service being provided by Línea Directa's tradespeople, with no limit, or reimbursement of up to 5,000 euros. This includes changing the locks, painting, cleaning and clearing out furniture, and repair of minor damage, as well as the costs of plumbers, builders, glaziers, electricians, flooring contractors and the servicing of appliances.

It also covers up to 300 euros per month for six months to cover water, electricity and gas bills for their main residence while it is being squatted.

If the occupied property is the main residence of the insured and they need alternative accommodation, they can receive up to 800 euros per month for six months. The owner will receive the same amount for six months if the house was for rental and could not be rented out, meaning they could not collect the rental income.

Any compensation the insured might need to pay for damage caused to third parties during the squatting, such as water damage to other occupants of the building, is covered up to 7,500 euros in civil liability.