Muscat
The Financial Services Authority (FSA) today organized a workshop on “Insurance of Hidden Defects of Installations/Buildings”.
The workshop included a presentation on the experience of the Kingdom of Saudi Arabia (KSA) in implementing a mandatory insurance system for hidden defects in buildings.
The workshop studied the extent to which the Saudi system could be implemented in the Sultanate of Oman. It laid emphasis on cooperation among government departments and private sector companies to provide an appropriate environment for encouraging the adoption of such initiatives that support the real estate sector.
The participants discussed the advantages and basic measures to insure hidden defects in buildings. The workshop saw the participation of speakers from the KSA Ministry of Municipalities and Housing, in addition to representatives of public and private establishments in the Sultanate of Oman.
It is worth noting that hidden defects are defined as construction works or related protective elements that weaken the strength or the stability of a building. In this sense, the term “hidden defects” refers to errors in design, materials, soil examination or in the construction of a building, on condition that such defects were not discovered on the date a building’s certificate of completion is issued.
