Property insurance in Thailand is feasible but not obligatory and is your decision to make. In this article, we’ll discuss all the aspects of real estate insurance in the kingdom.
Property insurance will help you to not be alone when there is a problem: e.g., if your property is destroyed by a natural disaster or third parties. Natural disasters do not occur in Thailand as often as in many other countries in Asia, but floods do occur occasionally in many regions of the country. There are also forest fires in the north. In 2004 Phuket was hit by a tsunami. And on 28 March 2025 a magnitude 7.7 earthquake centred in Myanmar shook Bangkok: a 30-storey State Audit Office building under construction collapsed, 96 people died, and cracks appeared in residential high-rises. Insurers received about 150,000 claims, and the total bill was estimated at 50 billion baht. Since then the conversation about insurance in Thailand has stopped being theoretical. To not worry about what losses you may incur due to nature or the actions of ill-wishers, you can insure your property abroad.
Content:
- What Kind of Property Can Be Insured?
- Insurance Process
- Insurance Costs
- What You Should Pay Attention To
- Flood and earthquake: where the catch hides
- Theft
- Apartment Insurance
- Property Investments
- Rental Property Insurance
- Six questions for your insurance agent
- Frequently asked questions
What Kind of Property Can Be Insured?
In Thailand, there are no restrictions on insurance regarding property type. You can insure both a house and an apartment, whether owned or rented.
Insurance Process
If you decide to purchase an insurance policy, contact the insurance agency and an expert will visit you. This person will evaluate the property, offer insurance terms and conditions, and draw up a contract on the agreed terms. Read the text carefully before signing. If necessary, ask for a translation of the agreement into English or Russian. Never sign documents that you do not understand.
In large resort cities where Russian-speaking communities exist (for example, Pattaya, Phuket, Koh Samui), insurance companies may hire Russian-speaking experts to give you all the details of the insurance they offer. If you do not speak English well, and there is no Russian-speaking agent in the company, then you’re advised to hire a translator. Buying with a mortgage is a separate case: the bank almost always requires the collateral to be insured and names its own list of approved insurers.
Insurance Costs
The cost of the insurance premium is calculated in different ways. Some agencies charge a fixed amount per year, while others may charge a percentage of the property value. The price of insurance can start from as little as 600 baht per year. A policy with maximum coverage of damages up to THB 10,000,000 will cost about THB 20,000 per year.
After the 2025 earthquake, demand for policies covering natural disasters rose and insurers grew more cautious: some raised rates for that risk, others introduced higher deductibles. The country’s property insurance market is forecast to grow by about 5% a year through 2030.
"Since March 2025 we read policies differently. Clients used to look at the headline sum insured; now they look at the sub-limits and the deductible for each risk. Most of those affected in Bangkok did have insurance — the question was how much it would actually pay."
— an insurance broker working with foreign owners
What You Should Pay Attention To
Each contract specifies the maximum coverage amount. If it is significantly less than the insured property value, you might be disappointed when an insured event happens. It is your choice whether to take out sufficient/insufficient insurance coverage.
In Thailand, there are 4 kinds of coverage for private homes:
- Construction and structures. Insurance is paid out in the case of damage to the floors, walls, and ceilings of the building. Compensation is about THB 20,000 per square meter.
- Finishing, plumbing, and communications. The insurance covers damage to wall and floor coverings, bathrooms, kitchens, and built-in wardrobes.
- Furniture and appliances. This includes all furniture and appliances in the house.
- Personal property. This category includes money, works of art, and jewelry.
Carefully check the insurance category: the payout for the insured event depends on this. You should pay attention to the smallest details. For example, a leak from a neighbor may be recorded as an insured event, but a leak from a roof is not.
Flood and earthquake: where the catch hides
The line "floods are not covered" appears less often than people assume. More often the risk is in the policy but with a sub-limit: standard programmes, for instance, cap the annual payout at around THB 20,000 ($604). Formally there is cover; in practice it will not even replace the furniture on the ground floor. Full flood protection is bought as a separate option and costs more.
Earthquakes follow the same logic. Most basic policies list the risk but cap the amount, and that is exactly where condo owners in Bangkok were caught out in 2025. Three lines are worth checking: whether the risk is included, what the sub-limit for it is, and how the deductible is calculated — it is often a percentage of the sum insured rather than a fixed amount.
Typically, insurance includes such possible causes of damage from a hurricane, earthquake, explosion, aircraft crash on the insured object, vandalism, and others. Look not at the list of risks but at the figures next to each one.
Theft
In Thailand, theft is common. It is worth noting that insurance companies treat theft and burglary differently. If there are no traces of a break-in, then there will be no compensation. The burglary coverage does not usually exceed 10% of the maximum payout amount under the contract.
Apartment Insurance
In multi-apartment buildings, parts of the building structure cannot be insured: walls, ceilings, and floors. They are insured by the condominium juristic person — the common property of the building runs on a separate policy paid for out of your own maintenance contributions. After a major event such as an earthquake it is worth asking the management company for a copy of the building policy: it determines who pays to restore the facade, the lifts and the load-bearing structures. You can insure property and liability to neighbors in case you become the source of damage to their property in a fire or leak. Although an insurance policy for an apartment costs much less than private villa insurance, the coverage amounts are quite high. Damage to finishing materials, furniture, and equipment is compensated in the amount of up to 500,000 baht; burglary of an apartment – is up to 200,000 baht; damage to third parties – is up to 2,000,000 baht; personal injury of the insured person – 200,000 baht.
Property Investments
It is recommended to insure not only the property in which you plan to live but also your investment properties. If the unit is let out, check separately whether the policy covers damage caused by tenants and whether loss of rental income during repairs is included — basic programmes usually leave both out.
Rental Property Insurance
If you rent a long-term property, you are responsible for the safety of the house, items, furniture, and equipment. To avoid sudden expenses, the rented property can also be insured. The process of obtaining such an insurance policy is similar to the process of insuring your property.
Six questions for your insurance agent
Ask them before signing — they settle almost every dispute that later ends up in court.
| Question | What it checks |
|---|---|
| What is the cover for each risk? | The headline sum and the sub-limits for flood, earthquake and burglary are different numbers |
| How is the deductible calculated? | A percentage of the sum insured or a fixed amount; on a large loss the difference is enormous |
| What counts as a break-in? | Without signs of forced entry a theft is usually not paid |
| Who insures the building structure? | In a condominium it is the juristic person; with a villa it is you |
| Is damage by tenants covered? | Relevant if the unit is let out |
| How soon must a claim be filed? | Usually within days of the event; a late claim is grounds for refusal |
It remains your choice whether to insure your property or not. Natural disasters in Thailand do not occur in every region. Residential settlements are currently better protected. Most management companies offer 24/7 video surveillance and security services. However, it is impossible to protect yourself from all the possible insured events. An insurance policy will relieve stress in case of an unexpected situation in a foreign country.
Frequently asked questions
Is property insurance compulsory in Thailand?
Not by law. The exception is a mortgage purchase: the bank requires the collateral to be insured and usually names its approved insurers.
Does a policy cover flood damage?
The risk is usually included but with a sub-limit of around THB 20,000 a year. Full flood protection is a separate option and costs more.
Who is responsible for the building structure in a condominium?
The condominium juristic person: common property runs on a separate policy funded by maintenance contributions. The owner insures the interior, the contents and liability to neighbours.
How much does a policy for an apartment cost?
Basic cover starts at about THB 600 a year, while a policy paying out up to THB 10 million costs around THB 20,000 a year.