Do you need to insure a property in Georgia?
No law requires a private owner in Georgia, the country, to insure a flat or a house: under Article 801 of the Civil Code insurance is compulsory only where a specific law says so, and the last compulsory property scheme, fire insurance for businesses, was repealed in 2005. A bank will require it on a mortgaged property. For everyone else it is a choice, and an inexpensive one: home policies start at about GEL 12 a month at TBC Insurance, GEL 20 to 30 at Irao and GEL 25 or 35 at GPI Holding. The catch is in what they cover: several popular policies insure the interior finishing and contents but not the building itself.
This page compares the policies on the market, the exclusions that matter for foreign owners, earthquake risk, insurance for a let or mortgaged flat and how to claim. The insurance foreigners must hold when entering Georgia since 1 January 2026 is travel health insurance and has nothing to do with property.
What a home policy can cover
| Layer | What it pays for | Where we found it |
|---|---|---|
| Structure | Walls, floors and the building shell of your unit | Aldagi Premium ("carcass" option); bank collateral policies; TBC's fuller package |
| Interior finishing | Renovation: floors, plaster, tiles, built-in fittings | All retail policies we read |
| Contents | Furniture and appliances, often with caps per item | All retail policies we read |
| Liability to neighbours | Damage you cause to the flat below, typically up to GEL 10,000 | Add-on at GPI, Irao, Unison; included at TBC and Aldagi Premium |
| Loss of rent or alternative housing | Up to 3 months while the flat is repaired | GPI Premium, Unison, Aldagi add-on |
| Damage by a tenant | Harm a tenant causes through negligence | TBC, Irao, Unison add-on, Aldagi add-on |
Water from a neighbour's flat is the first risk every insurer lists for flats, and finishing-and-contents cover deals with it well. Structure cover matters most for earthquakes and fire, and for houses.
Policies and prices on the market
| Insurer and product | Price | Main limits and deductible |
|---|---|---|
| TBC Insurance, apartment insurance | From GEL 12 a month | Appliances and furniture up to GEL 20,000; finishing up to GEL 300 per m²; liability up to GEL 10,000; bought online in about a minute |
| GPI Holding, Comfort Standard | GEL 25 a month | Up to GEL 10,000; deductible 5% of the loss, minimum GEL 100 for finishing and GEL 150 for contents |
| GPI Holding, Comfort Premium | GEL 35 a month | Up to GEL 20,000; rent paid for up to 3 months; liability add-on about GEL 5 to 6 a month |
| Irao, home insurance | From GEL 20 to 30 a month | Up to GEL 90,000 and GEL 500 per m², contents up to GEL 15,000; deductible GEL 100, GEL 500 for plumbing failures |
| Aldagi, full home insurance | Online calculator, in US dollars | Premium option includes the structure; no maximum limit stated; claims paid within 10 days of documents |
| Unison, property insurance | On request | Cost of renting other housing during repairs, up to 3 months where the flat is let; 10% fee for early cancellation |
Aldagi is by far the largest home insurer: in 2025 it wrote 57.9% of property premiums paid by individuals, followed by TBC Insurance with 28.6%, according to the insurance regulator's statistics. Policies can be bought online with your passport details and the property's cadastral code; Aldagi lets a non-owner insure with the owner's permission. We found no restriction on non-residents buying a policy, although several product pages are in Georgian only.
The exclusions that matter for foreign owners
- An empty flat. GPI excludes any loss, and Irao and Unison exclude theft or abandonment, if the property is left unattended for more than 30 days without telling the insurer. For an owner who visits twice a year, this is the clause to negotiate.
- A waiting period. GPI pays only for events from the 15th day after the policy starts.
- Older buildings. GPI limits cover for buildings from before 1950; Irao does not insure buildings 60 or more years old, wooden houses or buildings declared in emergency condition.
- Renovation and defects. Damage during repair works and construction or design defects are excluded everywhere we looked.
- Small print on water. Rain through open windows, balcony contents and, at Unison, leaks from shared building pipes are excluded.
- Per-item caps. GPI's annex caps, for example, a sofa set at GEL 3,000, a fridge at GEL 1,500 and a laptop at GEL 1,000; list valuable items separately.
- Valuables. Cash, jewellery and antiques are generally not covered.
Earthquakes and seismic risk
All of Georgia lies in a seismic zone, and the building code PN 01.01-09 sets a design intensity for each place.
| Place | Intensity, points | Seismic coefficient |
|---|---|---|
| Tbilisi | 8 | 0.17 |
| Batumi | 7 | 0.09 |
| Kutaisi | 8 | 0.13 |
| Bakuriani | 8 | 0.16 |
| Gudauri | 9 | 0.31 |
| Telavi | 9 | 0.32 |
Most retail policies list earthquake among the covered risks, but with conditions: GPI excludes shocks below magnitude 4.0, and Unison treats all damage within 72 hours as one event. Because policies such as GPI Comfort and Irao insure only finishing and contents, an earthquake claim under them does not pay for the structure. Georgia has no state earthquake pool of the kind some neighbouring countries run, and under Article 831 of the Civil Code an insurer covers force majeure only if the policy says so. Owners who want structural cover should look at Aldagi's Premium option or a building policy, and read the earthquake deductible: the bank collateral policy we read charges 5% of the sum insured, at least GEL 5,000.
Insuring a let flat
Letting changes the risk, and the insurer must know. Article 813 of the Civil Code requires a policyholder to report any increase in risk immediately, and GPI's terms require notice of a lease or a pledge. Several insurers offer specific cover: TBC and Irao include damage caused by a tenant's negligence, Unison sells it as an add-on, and Aldagi offers it as an add-on together with cover for lost rental income. We found no Georgian policy that names daily letting either as covered or as excluded, so tell the insurer in writing if the flat will host short stays. Airbnb's AirCover for hosts includes damage protection up to USD 3 million and liability insurance of USD 1 million, but Airbnb itself says it is not a substitute for your own insurance.
Insurance on a mortgaged flat
Banks require the mortgaged property to be insured in their favour, usually for its full market value, and some add life insurance. ProCredit Bank, for example, lets the borrower choose one of 3 partner insurers or bring another policy that meets its minimum requirements. Costs differ widely: the GPI collateral policy linked from ProCredit's site charges 0.075% of the value a year, minimum GEL 100, while Terabank and Credo show property insurance from about 0.27% and life insurance from about 0.65% to 0.72%. Halyk Bank states that neither is mandatory. The bank's policy insures the building for the lender; it does not cover your furniture or your liability to neighbours, so many owners add a home policy. Our guide to mortgage rates shows how insurance enters the effective rate.
Insuring for the right value
The Civil Code sets two rules worth knowing. If the sum insured is lower than the real value at the time of a loss, the insurer pays only the same proportion of the damage (Article 827): insure GEL 50,000 of finishing worth GEL 100,000 and a GEL 10,000 water claim pays GEL 5,000 before the deductible. And when you sell, the policy passes to the buyer, but the insurer must be told at once; otherwise it is released for events more than 2 weeks after it should have been notified (Articles 833-835). Review the sum insured after a renovation and at each renewal.
Making a claim
Report at once
By the insurer's hotline, then in writing: within 72 hours at GPI, 48 hours at Irao.
Call the police for theft or vandalism
The report is part of the claim file.
Leave the damage untouched
Limit further damage, but do not repair before the insurer inspects.
Send the documents
Photos, receipts and the policy; Irao asks for them within 1 month.
Wait for the decision
Inspection usually starts within 3 working days; payment follows within 10 days at Aldagi, 14 days at GPI after the settlement act, 1 month at Irao.
If a claim is refused, complain first to the insurer, which must answer within 30 days. You can then write to the Insurance State Supervision Service of Georgia, which supervises insurers but states that it does not act as an arbitrator or court; a contested claim ultimately goes to court or to arbitration if the policy provides for it. We found no insurance ombudsman.
The market in numbers
- Premiums. Property insurance premiums reached GEL 157.93 million in 2025, up 19.4%, of which GEL 42.61 million came from individuals.
- Policies. 301,306 property policies were in force at the end of 2025, for businesses and individuals together.
- Claims. Insurers paid GEL 38.07 million in property claims in 2025, GEL 10.56 million of it to individuals.
- Tax. Insurance is a financial service exempt from VAT (Tax Code Articles 15 and 171), and we found no separate premium tax.
New builds and the period before handover
A flat under construction cannot be insured under a home policy: Aldagi and Irao both exclude buildings under construction or renovation, although Aldagi accepts a completed building still registered as under construction. Until handover the risk of accidental damage stays with the builder under Article 651 of the Civil Code, and construction defects are excluded from every home policy we read, so a defect is a claim against the developer, not the insurer. Contractual claims relating to immovable property are time-barred after 6 years (Article 129). Our yearly owning costs page shows where insurance sits in an owner's budget.
Choosing a policy, step by step
Decide the layers
Finishing and contents for a flat; add structure for a house or earthquake peace of mind.
Value the flat properly
Insure the full cost of the finishing and furniture.
Disclose your use
Empty for long periods, let long term or let by the night.
Read four clauses
Unattended property, earthquake, deductible and per-item caps.
Add liability
Water reaching the flat below is a risk every insurer lists.
Risks and exceptions
- No structure cover. Many policies pay for finishing and contents only.
- Empty for over 30 days. Cover can lapse without notice to the insurer.
- Underinsurance. Claims are paid in proportion.
- Undisclosed letting. An increase in risk must be reported.
- Late notice. Deadlines of 48 to 72 hours apply.
Frequently asked questions
Is home insurance compulsory in Georgia?
No, unless a bank requires it for a mortgage.
How much does home insurance cost?
From about GEL 12 to 35 a month for a flat, depending on cover.
Is earthquake covered?
Usually, but often only for finishing and contents, not the structure.
Can a foreigner buy home insurance online?
Yes, with passport details and the cadastral code; some sites are in Georgian only.
What if my flat is empty for months?
Tell the insurer; many policies exclude losses after 30 days unattended.
Does insurance cover a let flat?
Yes, if the insurer knows; tenant damage is often an add-on.
Who supervises insurers?
The Insurance State Supervision Service of Georgia.
Is there VAT on insurance?
No, insurance is exempt from VAT.
Sources
- Civil Code of Georgia, chapter on insurance, Legislative Herald of Georgia (accessed 20 October 2026)
- Law on compulsory fire insurance, repealed in 2005, Legislative Herald of Georgia (accessed 20 October 2026)
- Home insurance, TBC Insurance (accessed 20 October 2026)
- Comfort home insurance, GPI Holding (accessed 20 October 2026)
- Comfort terms and conditions, 1 February 2025, GPI Holding (accessed 20 October 2026)
- Home insurance, Irao (accessed 20 October 2026)
- Full home and apartment insurance, Aldagi (accessed 20 October 2026)
- Property insurance information sheet, Unison, May 2026 (accessed 20 October 2026)
- Insurance market statistics, 2025, Insurance State Supervision Service of Georgia (accessed 20 October 2026)
- Complaints procedure, Insurance State Supervision Service of Georgia (accessed 20 October 2026)
- Building norms PN 01.01-09, seismic-resistant construction, Legislative Herald of Georgia (accessed 20 October 2026)
- Collateral insurance, ProCredit Bank Georgia (accessed 20 October 2026)
- Collateral real estate insurance conditions, GPI Holding for ProCredit Bank, 2022 (accessed 20 October 2026)
- AirCover for hosts, Airbnb (accessed 20 October 2026)
- Tax Code of Georgia, Legislative Herald of Georgia (accessed 20 October 2026)
Change log
- - Explainer published from insurers' policy terms and prices, the Civil Code, the seismic building code and the insurance regulator's 2025 statistics.