Communal Insurance - Service Standards

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Communal Insurance - Service Standards

Post by HappyCamper »

Good Evening

can you offer any advice on service standards for Cypriot Insurance Companies and Developers please?

My property is in a Pafilia Development where communal management is provided by Blue Orange (a Pafilia subsidiary) who insure the communal property through CNP Afsalistiki.

Back in January of this year the door to the communal entrance to my block of 15 apartments was damaged and is no longer secure. It can be pushed open without a key. We are not sure how the damage occurred, but it was logged with Blue Orange at the time and a resolution date of early Feb was promised by Blue Orange.

However, some three months later the door has not been repaired and the security of our block, and the safety of the owners and their property, is compromised. There appears to be a dispute between Blue Orange and the Insurance Company (CNP) theyBO have chosen to appoint on owners' behalf. BO want the repair to be funded through an insurance claim, and CNP have not yet settled the claim.

The Chief Executive if Blue Orange tells me that .... (his words)

"Kindly note that delays are noticed with all insurance companies and not only with CNP. Due to the fact though that we recognise the problem, we have already suggested to CNP to create a fund from which we will be able to take money out in order to deal with similar cases like the broken emergency door at Pafia Gardens, until we receive a reply about the claim. The matter is under negotiation but we believe that it is something that will take place soon"

This is just an unacceptable answer after three months for a claim that will surely be financially trivial. And three months later our properties, and our personal safety, are still not secure.

This is not reasonable.

Does anyone know of any standards for time scales for Insurance Companies in Cyprus to settle claims, or of any regulator for the Insurance Sector that would be the equivalent of a UK Ombudsman?



You do have to keep a straight face I find. The Chief Executive of Blue Orange now tells me that ...... (his words)

"On the other hand though, we strongly recommend to the complexes to create a contingency fund in order to be able to cover any similar unexpected expenses that might occur in the future in order to be able to avoid any delays"

So his proposed solution here is for owners to pay him more money to accommodate his inability to get BO and CNP to sort this out! pmsl.
Nigel Howarth
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Re: Communal Insurance - Service Standards

Post by Nigel Howarth »

Hi Brian

I'm with, what I thought was, a good medical insurance company. But they can take four or five months to settle a claim. As far as I am aware there are no set time-scales for Insurance Companies to settle claims. But there is an Insurance Companies Control Service that may be able to help.

Why can't Blue Orange pay for the repair and recover the money from CNP Afsalistiki.

However, the best solution would be to establish a Management Committee and organise insurance, maintenance, repairs, etc. yourselves rather than relying on poorly performing management companies.

Nigel Howarth
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Re: Communal Insurance - Service Standards

Post by andrew »

Hi Brian
Have you seen the CNP policy? CNP policies used to have an excess of €427 or 5% of the claim whichever the greater the policy document would confirm this, if so BO are not telling you the full story. Also suggest you ask for a copy of the claim form.
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