BREAKING NEWS

Insurance to cover year’s rent for tenants of collapsed Holon building

The money will not have to be returned even if the collapse is ultimately deemed outside the responsibility of insurers, the company said.

The Bituah Yashir (Direct Insurance) insurance company said Sunday it will pay rent for a year for its clients in the Holon building that collapsed two weeks ago.

Some 16 families were evacuated from their homes in Holon by the Fire and Rescue Services on Saturday, September 11, after an explosion was reported in the building. Emergency workers investigating the site found cracks in the building’s infrastructure signaling that the structure was unsafe. A day later, the building collapsed.

 Collapsed building in Holon (credit: FIRE AND RESCUE SERVICE)
Collapsed building in Holon (credit: FIRE AND RESCUE SERVICE)

Bituah Yashir said it is not yet clear whether insurance companies will be required to cover the damage from the collapse. However, it gave each of its customers in the building a NIS 10,000 advance within 24 hours of the collapse and has now committed to finance their rental payments for at least a year.

The money will not have to be returned even if the collapse is ultimately deemed outside the responsibility of insurers, the company said.

“Immediately after the collapse, our claims department transferred to the clients a total of NIS 10,000 to get organized, even before it was determined whether their policies covered the case,” said Direct Insurance CEO Kobi Haber. “From the moment we realized that the inspection would take time, and alongside the inspection by the supervisor of insurance, we decided to give customers a year of rent until the inspections are completed.”