Italy’s Legislative Decree No. 122 of June 20, 2005, by enforcing the provisions of the Parliamentary Law (Legge Delega) n. 210/2004, has introduced detailed law provisions aimed at the protection of real estate property buyers. More particularly, the builder is obliged to underwrite a ten-year posthumous insurance policy to cover against material and direct damages to the property, including damages to third parties, in compliance with Art. 1669 of the Italian Civil Code, which might derive from a total or partial destruction, or from serious defect in the construction work, due to construction site defector due to construction defect. It is important to highlight that this insurance policy, besides from being a compulsory law requirement, represents a guarantee for the buyer, who has the right and the interest to require it at all times.
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