Can a foreign owner claim Israeli government compensation for war damage to their apartment?

The Property Tax and Compensation Fund Law created a state fund, financed from the general budget, that stands behind property located in Israel. Direct war damage covers physical harm to a building, its fixtures and its contents from rockets, shrapnel, blast or other hostile action, and the Fund also compensates damage caused by measures taken to counter such action. Assessors from the Israel Tax Authority inspect the property and issue a decision on the amount. An owner who disagrees can object and then take the matter to a compensation appeals committee. Indirect losses such as lost rent are handled separately and are compensated only under specific orders and in defined areas.

Israeli home policies exclude war damage precisely because the state fund covers it, so a non-resident owner who assumes that Israeli property insurance will pay for missile damage will find the claim rejected. The two systems sit side by side: the insurer handles fire, water, theft and earthquake, and the Fund handles hostile action. The practical problem for an owner abroad is speed. Filing windows are published per event, assessors need physical access to the apartment, and neither a tenant nor the building committee will file on the owner's behalf. Give a local representative a written power of attorney and the property file details before an emergency rather than during one.

From the full guide: Property Insurance in Israel: A Complete Guide for Foreign Owners

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