What to know before you buy home insurance

1. There are two key types of cover: Building and Contents insurance.

Building insurance covers the building itself and built-in appliances. Whereas contents insurance covers belongings such as clothing, furniture and electronics.

If you are a homeowner we would suggest taking out both types of cover. For those living in a rented home, the building insurance should be covered by your landlord, we do however suggest still taking out contents insurance.

2. What does building insurance actually cover?

It covers damage to your property as a result of:

  • Fire

  • Floods

  • Storms

  • Falling trees or branches

  • Vandalism

3. What does contents insurance cover?

Contents insurance usually covers your belongings from:

  • Theft

  • Fire damage

  • Flood damage

  • Earthquake damage

  • Vandalism

4. Try to be accurate with what and the amount of cover you need

When seeking out buildings insurance, make sure that your residence is covered for the rebuild value, not the market value. The most reliable way to determine the cost of your contents is to go from room to room and note down the worth of each item. Attempt to be as accurate as you can as undervaluing your contents will leave you underinsured, while over-estimating will unnecessarily enhance the cost of your cover.

5. 'New For Old'

When selecting contents insurance, it’s beneficial to get ‘new for old’ cover for your belongings as this means they will be compensated with a like-for-like new product, rather than the value the old objects were worth.

If you are looking for advice on what home or contents insurance to obtain or need help putting a policy in place please call or email us today and one of our friendly team members will be happy to help.

Lyndon Hollinshead