New build 10 year ‘Decenal’ property insurance Spain

through a ‘loophole’ whereby an ‘auto promotor’ (owner/developer) has built the house for their own occupancy with the intention of living in it for the duration of the first 10 years. Through a lack of understanding at the time of purchase, the builder may submit all paperwork showing the buyer as ‘Promotor’, therefore the obligation to take out the insurance (if they intend to sell on within 10 years) rests on their innocent shoulders. It is only later when they encounter defects, try to register / mortgage or sell the property, that the non-existence of a policy may come to light. Furthermore, as the insurers like to specify a level of control during the construction period, it can be difficult to get insurance post completion.

Will the insurers cough up when needed?

If there is a strong enough case that meets the terms of the policy, yes, they are obliged to pay, but of course the insurance assessors job is to wriggle out of any responsibility. Commonly they may initially claim that an issue is nothing to do with them but instead down to the builder. This may be correct if the issue is simply not covered in the policy, but if it is covered (and all issues that affect the structural stability have to be), it is their responsibility to pay out for such issues, whether the builder is around, absconded or bankrupt.

Of course where a serious omission has occurred due to builder negligence, the owners may not be confident in