Legislation

The holder of the exploitation of local accommodation establishments is jointly and severally liable with his or her guests for damages caused by them in the building in which the accommodation unit is located.

In this sense, it must execute and maintain a valid non-contractual civil liability insurance that guarantees the property and non-property damage caused to guests and third parties arising from the activity of providing accommodation services.

The State Budget for 2019 amended Decree-Law No. 128/2014, which approves the legal regime for the operation of Local Accommodation establishments, changing Article 13-A - Solidarity and insurance.
Thus updating the last and most recent update to Decree-Law no. 128/2014, which had been proceeded by Law no. 62/2018 and had generated some controversy regarding this insurance obligation.

Having made this correction through the State Budget, it was defined that the minimum capital of the insurance contract is 75,000 € per claim.

The other conditions of the insurance (such as temporary coverage, possibility of exercise of right of return, allowable exclusions of liability and franchise establishments that can not be resisted by the injured third party) will be determined by an order of the members of the Government responsible for the areas of finance and housing .

In the case of the establishment of local accommodation integrated in a horizontally owned building, the holder of the holding is also obliged to conclude an insurance contract guaranteeing the property damage directly caused by fire in or from the accommodation unit.

The non-contractualisation or lack of valid insurance is grounds for cancellation of registration of establishment of local accommodation by the competent City Council.

LEGISLATION

• Law No. 71/2018 of December 31, approves the State Budget for the year 2019.
• Law no. 62/2018 of August 22, makes the second amendment to Decree-Law no. 128/2014, of August 29, which approves the legal regime for the operation of local accommodation establishments.
• Decree-Law No. 128/2014 of 29 August approving the legal regime governing the operation of local accommodation establishments.

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