Fire Insurance
If you’re a property owner, you are required by law to have fire insurance, which covers damage to the property in case of a fire. The amount of insurance corresponds to the property fire insurance valuation, which is done by Registers Iceland (Þjóðskrá), but if the property is considered more valuable than determined by the valuation, you can also buy additional coverage at TM.
Because mandatory fire insurance only pays benefits according to the valuation by Registers Iceland, it’s always wise to have the fire insurance valuation reassessed if the property has been renovated or had additions added. For example, it’s common that patios aren’t included in the fire insurance valuation because the valuation may have taken place before their construction.