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The benefits of home insurance and how to get a cheap quote It’s likely that your home will be one of the most expensive things that you ever purchase, so protecting your investment with a robust insurance policy is strongly advisable. Finding home insurance quotes which are cost effective and also provide ample cover for your home isn’t as difficult as you think. What home insurance is available? Roughly speaking, two types of insurance are available to UK owners and occupiers. These are as follows: Buildings insurance This type of policy covers the structure of your home, along with permanent fixtures and fittings such as sanitary ware. The windows and doors of your home may also be covered. It might also provide cover for outside buildings like sheds, garages or summer houses. It is essential for homeowners, but not necessary for tenants. Contents insurance This type of insurance will provide cover for the belongings in your house. A large number of insurance companies offer two types of contents insurance: new-for-old policies and wear-and-tear policies. The new-for-old policies offer the complete cost of replacing the items as new if destroyed beyond repair or stolen. Otherwise, if the items are damaged the insurer will pay out the cost of repair. Wear-and-tear policies, better recognised as indemnity policies, provide cover to repair or even replace your items, but with a relevant pay slash for depreciation and expected wear and tear. Each insurer will also have their own set of exclusions (a set of circumstances in which you will not be able to make a claim) so make sure that you familiarise yourself with the ones which have been specified by your insurer. A frequent exclusion for contents insurance is if items are stolen from your house and you haven’t locked your doors or used a burglar alarm. When working out the figure that you should insure your home contents for, it’s advisable to spend some time going through your home or residence on a room-by-room basis so you can provide an accurate sum. Insurers will not usually retroactively alter your contents policy in the event of you needing to make a claim, so keeping up-to-date is important. There are plenty of ways that you can save money on your home insurance. For example, you could take the following measures: - Pay annually Paying for your home insurance in a one-off instalment when your policy begins or is renewed could mean that you avoid the costs associated with paying by instalments. If you’re able to do so, then it might be a route worth pursuing. - Agree to a higher voluntary excess If you decide to pay a higher contribution to a claim that you make then it could result in your insurance premium being cheaper. However, agreeing to a large sum that you could ill-afford to pay if you need to call upon your insurance is unwise, so keep it to a figure which is comfortable. - Buy buildings and contents insurance together Some insurers will offer contents insurance for a discounted price or even throw it in free of charge, should you take a buildings insurance policy with them. - Upgrade security measures Investing in approved security devices from locks to alarms might mean an initial outlay, but there could be ongoing benefits achieved through reduced costs for your home insurance policy in the mid to long term due to the reduced risk of your home being a subject of theft. - Shop around online Comparison sites have made it easier for consumers to find a better deal on their home insurance by allowing them to browse lots of quotes from many different insurance providers with relatively little effort. If your insurance is up for renewal, then checking what’s on offer elsewhere could lead to making a big saving. It’s always important to compare what the policy offers you as well as the price so you can be sure that you’ve got the cover that you need. |