Luko follows a very simple insurance principle: take care of the consequences of a hazard, but not the cause of the hazard itself. That is? If you have a claim, the insurance will not cover the hazard at the origin of the loss (= the cause), but it will compensate you for all the costs caused by the loss (= the consequences).
🔥 Example 1: Your faulty toaster catches fire and causes a fire in your kitchen. All your kitchen furniture is in ashes, and you have to rebuild a whole section of wall.
Insurance will reimburse you: the costs necessary for the repair of your wall + the purchase of your kitchen furniture.
Insurance will not reimburse: the toaster that ignited and caused the fire.
💧Example 2: the drain pipe of your washing machine breaks and your washing machine overflows, causing a flood in your home. Your beautiful parquet floor is all curled up!
Insurance will reimburse you: the costs necessary to restore your parquet floor.
Insurance will not reimburse: the repair of the drain pipe of your washing machine that is causing your water damage.
🏚 Example 3: You have never had the roof of your house maintained. When you come back from vacation you discover a stain on your ceiling due to infiltration due to a lack of maintenance.
Insurance will reimburse you: the costs necessary for the repair of your ceiling.
Insurance will not reimburse: the restoration of your roof to avoid further infiltration.
❓Why does Luko work like this?
Each is responsible for the maintenance of his home. Insurance is there to protect you if you have a problem that the routine maintenance of your home could not have prevented. Otherwise, why bother to invest in the maintenance of your home? To use our last example, it would be enough to wait for the infiltration of water without any maintenance to then be reimbursed by the insurance both the consequences of the disaster and the repair of the roof ... Nevertheless, it is considered as an assurance that this system encourages everyone to properly maintain their property, which is in the interest of all. And it's not just Luko, but all the insurances that work this way.
If you have any questions on the subject, do not hesitate to contact us on the chat 💬