Alver Kivirüüt, head of the product department at LHV Insurance, highlights the critical risks associated with leaving apartment associations uninsured, warning that all apartment owners will eventually bear the consequences. While taking out a loan often necessitates securing an insurance policy, many apartment buildings across Estonia are left exposed to significant and costly risks due to lack of coverage. The troubling reality is exacerbated by the fact that a large number of these buildings have neither taken loans nor secured insurance, leaving their structures vulnerable to damages from storms, fires, and other disasters.

The trend of neglecting necessary insurance leaves properties susceptible to degradation, as owners avoid investing in policies that could protect their investments and safeguard countless families. As these buildings deteriorate under the elements – with roofs weakening and infrastructure crumbling – the absence of insurance creates a precarious situation for residents. Kivirüüt stresses that association insurance is not merely an added expense, but an essential investment in the security of both the building and the residents’ wellbeing.

This situation presents serious implications for the housing sector in Estonia. The seemingly ironic scenario of owners waiting for calamities to unfold instead of proactively investing in insurance highlights a need for greater awareness and responsibility among homeowners. Without collective action and the adoption of insurance policies, residents risk facing substantial financial burdens in the event of unexpected disasters, ultimately threatening the stability of many communities across the nation.