Glossary of Terms

Block of Flats Insurance Glossary of Terms Understanding the Declared Value The Declared Value is a figure that represents the rebuild cost of a block of flats or property converted into flats, including garages, outbuildings, walls, car parking, electronic gates, etc., if it was completely destroyed. It is the cost of the materials and labour required to reinstate the property to its previous condition. The Declared Value should also include an allowance for the cost of debris removal, architects, and other professional fees that could be incurred in rebuilding. This figure is sometimes referred to as the Reinstatement Value or Rebuild Cost. Importance of Accurate Declared Value It is vital that the block management company ensures the flats are insured for the correct rebuilding cost, as this value can increase each year depending on rising costs of materials and labour, as well as new building regulations. Most [...]