As of April 15, 2021, the Civil Code of Québec has been amended by Bill 141 with respect to divided co-ownership insurance. One of the key measures of this law requires a mandatory evaluation of the property by a certified appraiser every five years.
Why is a property evaluation important?
A property evaluation provides the reconstruction value of your condominium building, which is essential information for insurance purposes. The assessment must be conducted by a certified appraiser and is used to determine the actual reconstruction cost of the building, which must now be insured for this amount.
What does this mean for co-owners?
The appraisal exercise has financial implications for co-owners, as the deductible may be revised upward or downward based on the results of the assessment. The deductible is the amount paid by the insured party in the event of a claim.
In conclusion, the mandatory property evaluation outlined in Bill 141 ensures that co-owners are adequately insured and helps keep the building in good condition. It is important to stay up-to-date on these evaluations and make necessary changes to insurance policies based on their results. By keeping the building insured for its actual reconstruction cost, co-owners can feel secure knowing that they are protected in the event of a claim.