Home Insurance is insurance cover for your home and its contents.
Home insurance covers damage from incidents such as natural disasters, fire, theft, and vandalism to your home and normally covers similar problems for secondary buildings like your garage or shed. Home Insurance is also for the contents of your home, ie funds should be made available so you can replace any personal belongings affected by crime, accidents or disaster.
Home Insurance should cover your living expenses if your house becomes temporarily unusable, for example due to flooding.
Home Insurance Cover normally starts immediately once your payment is accepted and authorised.
Contents insurance and buildings insurance are the two main types of Home Insurance.
Contents insurance covers your possessions during a burglary or accidental damage is caused.
Buildings insurance covers the actual physical property - bricks, doors, roof, windows, drives, patios and the general structure against disasters and accidental damage.
Satellite dishes and aerials are an extension of your TV and so are normally covered via your contents insurance.
Building Societies and other mortgage lenders usually insist you take out buildings insurance or they wont lend you money. Its also advisable and offers security and peace of mind, your home normally being the major financial investment anyone makes in their life.
Contents insurance is not compulsory and lenders wont insist on it as a rule but if you consider how much your possessions are worth often an astonishing amount when you tot it up - it is definitely advisable and most policies offer good value for money.
Always shop around and remember your mortage lender is unlikely to offer the best deal.
If you are in rented accommodation check with your landlord who is responsible for the insurance.
When you buy Home Insurance you normally receive a Policy Document setting out the full terms and conditions of your policy and a Policy Handbook with more details and explanation about your policy. Always read these carefully and make sure you understand what you are buying. Check what your obligations are in terms of Home Security, eg in terms of the types of locks or alarms. Ask or obtain explanation for any jargon. Check for exclusions and what excess levels are involved. Check your possessions cover is accurate - that they are covered up to their correct value. Check the market value of your home is up-to-date. Check the cover for personal items once you have taken them away from home. If you work from home your personal contents policy will usually provide cover for office equipment used for occasional clerical work only as long as no clients visit your home. Check the level of cover for contents of any outbuildings including sheds and garages.
Remember while Buildings insurance is compulsory for mortgage borrowers contents insurance isnt. You have to assess the value of your possessions against any payments. It may not be worth taking out if you have few high value items. If you have lots of these it is probably essential. Check the actual content of policies on offer carefully as there are variations. Buildings Insurance Policies should cover natural events such as fire/flood/storm damage. Also damage from burglary or attempted burglary burst pipes and exploding water tanks and boilers. Subsidence cover is essential but if the property has a pre-existence evidence of this it will push your premium up.
Contents Insurance should cover loss of your possessions from a burglary.
Damage to them from burst pipes, fire, theft and natural disasters.
Nearly all UK insurance companies offer different insurance products such as home, car, travel insurance etc We all have various insurance needs but if you buy your policies from one insurer then some companies will offer discounts on your premiums. This can work out better for you both cost wise and in terms of convenience.
Similar to placing all your different insurance needs with one company, the same applies if you have buildings and contents with one provider. In many cases your overall quote will be reduced by switching to a combined home contents and buildings insurance policy. This can work out better for you as you only have one point of contact for all your home insurance needs.
Details of your present or previous insurer
The period your property was built
Details of any alarm fitted to your property
Details of the type of locks fitted to your doors and windows
Details of occupants
Property type (i.e. terraced, semi-detached, bungalow etc.)
Details of how many bedrooms your property has
Whether you are a member of a Neighbourhood Watch Scheme
Any history of claims
Details of interested parties such as a joint owner, name or mortgage lender
As well as providing peace of mind. Installing an approved alarm system should bring down the price of your policy and the savings should eventually pay for the alarm. Benefits in higher crime areas may be considerable. Ask insurers what discounts they offer for alarms and what type of alarm will bring down your payments. Ensuring you have solid frame doors, 5 lever mortice locks on external doors, window locks and secondary locks to outbuildings will prevent crime and may reduce your home insurance payments. Grants are often available in the UK to members of Neighbourhood Watch schemes. These schemes usually reduce crime in an area and often lead to discounts on your policy.
The Internet should be the cheapest source. Read Review Centre reviews for unbiased advice on good deals and follow links to recommended suppliers where you can obtain all the info you need. Obtain as many quotes as you can and compare whats on offer. At least three of four quotes, preferably more, should ensure you obtain a good deal. Always check beyond just the best price of what is offered and see what you are getting for your money. Check the value of your possessions carefully and avoid being over covered. Ensuring you have adequate security installed is one of the best ways of bringing down the price of your home contents policy. If you are currently receiving your buildings insurance from your mortgage provider obtain some comparison quotes. They are likely to be cheaper.
Fitting smoke alarms to your home will give you and your family peace of mind. They are potential lifesavers and are inexpensive and easy to install so there are no excuses really. Some insurers will also offer discounts on your insurance policy as an added incentive to install them.
Some insurers will save you money on your home insurance premiums by stipulating a higher voluntary excess on your home insurance policy. There is usually a minimum level of excess everyone has to pay but by requesting a higher level of voluntary excess you can reduce your home insurance costs. Be aware that a higher voluntary excess means that you will have to pay out higher costs in the event of a claim..