By Mashe Umaru Gwamna
An Estate Surveyor, ESV Onyechere Uche, has described property valuation as a key requirement in property insurance.
Uche stated this in Abuja yesterday, while explaining the importance of property valuation in protecting property owners against losses arising from damage or destruction.
He explained that valuation, in simple terms, is the process of ascertaining the worth of a person’s property, while insurance involves determining the value of a property for reimbursement or replacement in the event of loss or destruction.
According to him, the valuation process involves identifying the components of a building to be insured and determining the appropriate and fair value of the property.
He said the exercise is aimed at ensuring that the property owner is placed in the same position he was before the loss or destruction occurred.
Uche noted that proper valuation requires adequate knowledge of the property and the factors affecting its value in its present state.
He further explained that the value assessed for insurance purposes does not include the value of the land on which the property is situated, stressing that land is considered indestructible.
According to him, only the building or construction on the land is valued and insured.
Uche also stressed that only a registered Estate Surveyor and Valuer is authorised by law to carry out property valuation for insurance purposes.
He therefore urged insurance companies to ensure that property valuations carried out for insurance purposes are handled by qualified Estate Surveyors and Valuers.
He advised members of the public to ensure that their properties are properly valued by qualified professionals before securing insurance coverage.
He warned that property owners could bear the consequences of losses arising from poorly assessed valuations carried out by unqualified persons.
Uche reiterated that the Estate Surveyor and Valuer remains the professional authorised by law to determine the insurance value of property.
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