The city has not insured the vast majority of its buildings and other physical assets, so if they are damaged or destroyed in a disaster, the city will not receive insurance payments to recover the losses.

Why It Matters

Recommended Actions

No recommendations are available for this finding yet.

Original Audit Finding Excerpt

"A total of ₱320,096,997.74 or 79.2% of ₱404,104,347.58 insurable physical assets of the City were not yet covered by insurance from the Government Service Insurance System (GSIS) General Insurance Fund, thus, exposing the City to the risk of not being indemnified for any damage to or loss of properties arising from fire, earthquake, storm, flood and other force majeure contrary to Section 5 of Republic Act (R.A.) No. 656, otherwise known as the "Property Insurance Law", dated June 16, 1951, as amended by P.D. No. 245. The AT further noted that the monitoring and processing of property insurance was undertaken by the City Treasurer's Office (CTO) despite having a CGSO."

Source Document