Mandatory insurance for residential buildings in the Kingdom, consisting of three floors and less, will come into effect tomorrow, Thursday, to cover defects in construction works and other elements that weaken the strength and stability of buildings, the policy period will be ten years, and there will be no room for manipulation in the insurance business.

Four entities will inspect the application of the Saudi Building Code by contractors, led by the Ministry of Municipal and Rural Affairs and Housing through the approved electronic platform “Baladi”.

According to the statements of the Secretary General of the National Committee for the Saudi Building Code, Engineer Saad Al-Sha'il, and Dr. Hassan bin Shawqi Al-Hazmi, General Supervisor of the Land Agency and the Technical Affairs Agency at the Ministry of Municipal, Rural Affairs and Housing, the implementation of mandatory insurance on residential buildings will be implemented starting from July 2021, which falls tomorrow, Thursday, according to the Umm Al-Qura calendar

It was decided that owners of residential buildings consisting of 3 floors and less will be required to issue an insurance policy to insure buildings against hidden defects, and the policy period is 10 years and covers defects in structural works and other elements that are added to the building.According to the declarations, the insured will be compensated for the costs of repair, replacement and reinforcement of buildings resulting from hidden defects that are discovered and reported to the company during the insurance coverage period, emphasizing that the implementation of the building code will be mandatory by the Ministry of Municipal and Rural Affairs and Housing, with the fulfillment of 3 requirements for applying the code, summarized in the appointment of an accredited engineering designer office, the appointment of an accredited engineering supervisor office, and the purchase of the mandatory building insurance policy.