Insurance. When should I obtain Insurance for the property?

As at the date of the Contract.

The Law deems that the property is owned by you as at the date of the contract, being the legal point of sale therefore if any damage occurs to the property, you may be responsible for the damage unless it can be shown that the damage was as a result of wilful neglect or destruction by the Seller. If you have not obtained insurance, the property burns down and the seller does not have insurance, you will have to proceed with the contract regardless.

As the property is at your risk from the date of the contract we therefore urge you to immediately arrange insurance cover over the property to protect yourself in the case of damage or destruction to the property and its fixtures. If you need any assistance in this regard please do not hesitate and seek our advice. A Certificate of Insurance noting a fully paid premium and your financier’s name as First Mortgagee will be required prior to them releasing any finance to you.