Collateral Insurance Requirements for Private Individuals | Luminor

Valid from 15.05.2018.

The Insurance policy must specify a Luminor Bank AS Latvian branch, reg. No. 40203154352 as the payee of insurance indemnity.

These Requirements apply to Real Estate, which does not involve manufacturing or other high-risk business.

Insurance companies accepted by the Bank

Luminor Bank accepts the policies issued by licensed Insurance companies:

  • IF P&C Insurance AS Latvijas filiāle
  • Balta AAS
  • Baltijas Apdrošināšanas Nams AAS*
  • Balcia Insurance SE
  • BTA Baltic Insurance Company AAS
  • Compensa T.U.S.A. Vienna Insurance Group Latvijas filiāle
  • ERGO Insurance SE Latvijas filiāle
  • Gjensidige Baltic AAS
  • Seesam Insurance AS Latvijas filiāle
  • Swedbank P&C Insurance AS Latvijas filiāle
In case of suspension/cancellation of the license, acceptance of the policies issued by the company is suspended.

*Maximum sum insured limit per one object 100 000 EUR

The Risks included in the policy

Real Estate (both permanently and temporary inhabited properties) policy must include all basic risks, such as:

  • Fire accident
  • Nature Disasters
  • Illegal actions of third parties
  • Leakage from engineering communications (in the case, if an estate has engineering
  • communication)
  • Motor vehicle impact (collision)

Insurance amount

Insurance amount of all properties needs to correspond with a restoration value of an Insurance object that is not less than the minimum restoration value specified in the Table below

  Restoration value
Flats 810 EUR/m2
Single-apartment buildings and row houses 810 EUR/m2
Household buildings and other stand-alone auxiliary buildings 455 EUR/m2

Customer has full responsibility for determining the Insurance amount for his/her property. The minimum allowable restoration values are indicated in the table, but the customer is required to insure his/her property at its full restoration value. 
  • The Property must be insured without under-insurance (the insurance amount cannot be less that the value of the property).
  • If the market value of an apartment exceeds its restoration value, the property must be insured in its market value.
  • If the depreciation of the Real estate exceeds 30% (engineering services and electrical installations haven’t been changed during the last 30 years), it is allowed to insure a property at its actual value.
  • Full area of the Real estate, according to the documents submitted to the Bank, has to be insured (incl. basement, balcony, etc.)


The maximum amount of the deductible for any of the insured risks could not exceed:

  • for flats - 450 EUR
  • for buildings - 750 EUR
  • for objects under construction -  700 EUR
Bank has the right not to accept customers’ submitted insurance policy, if it does not meet any of the criteria mentioned above; if the customer does not have an opportunity to submit an appropriate collateral policy, the Bank is entitled to insure the property by concluding an insurance contract based on available information about the property and the customer is obligated to reimburse all expenses related to the insurance to the Bank.

 Collateral Insurance Requirements for Private Individuals