Breno Damascena
08-05-2024 – Reading time: 1 minute
Residents of the metropolitan region of Porto Alegre have been living days of terror since the rains began to hit the state at the beginning of last week. People barely have time to mourn the dead, as they need a place to live since many had their homes completely destroyed. However, what are the rights of those who lost a financed property during a flood?
According to real estate lawyer Rafael Verdant, leader of strategic litigation at Albuquerque Melo Advogados, active financing generally includes residential insurance established by the banks that granted the credit. “This insurance is a type of guarantee that protects the financial institution itself. After all, if the property ceases to exist, the banks do not get paid”, explains Verdant.
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“In an extreme situation, such as the death of the person who requested financing or a flood, as is happening in Rio Grande do Sul, the bank has the duty to activate this insurance to alleviate the financial damages of the affected people”, explains the attorney.
It is important to keep in mind that this possibility is only possible for those who currently have active financing. In other words, whoever has the property under fiduciary alienation from the financial institution. To be sure, just look for the insurance obligation and the amounts paid in the contract.
The specialist’s recommendation is to contact the financial institution and request that the insurance be activated at this time.
“The deadline for activating the insurance is one year”, explains Rafael. This activation can be carried out by any means. “There are banks that offer this possibility even through an app and some have made special channels available for the situation in the southern state, but the ideal is to talk to the manager”.
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He adds by warning that this property insurance will hardly cover losses resulting from the loss of furniture or financing that has already been fully executed. “For this, the person would need to have another active insurance, contracted for this specific purpose”, he points out.
