If a home is uninhabitable, what is the normal percentage of Building Sum Insured (BSI) payable?

When a home is deemed uninhabitable due to damage, the standard procedure typically involves compensating homeowners based on a percentage of the Building Sum Insured (BSI). The correct range is usually between 10-20%. This percentage is determined based on various factors, including the extent of the damage and the duration of the repairs required to make the home livable again.

Compensating in this range allows for coverage of the necessary expenses incurred while the home is being repaired. This may include temporary accommodation and other related costs until the property is restored to a habitable state. The percentage is set to ensure that homeowners receive adequate financial support during the restoration process, without exceeding what is necessary or appropriate, thus maintaining a balance within the insurance framework.

Other ranges, such as 5-10% or those higher than 20%, are atypical and do not reflect the norm in the industry standards for this particular situation.