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As with any home insurance policy, careful consideration
must be given to assessing the correct amount of cover
required. In the event of under-insurance a claim could be
averaged (this will reduce the size of any payment) or even
refused.
Buildings
Insurance
Buildings
insurance protects the structure of your home, as well as
permanent fixtures and fittings such as baths, toilets and
fitted kitchens, bedroom cupboards and interior decorations.
You should ensure you get enough house insurance cover to pay for the cost of
rebuilding your home, which may bear no relation to the
actual resale value of your home.
Contents
Insurance
To get cover for
your household possessions such as televisions, videos,
carpets, and furniture, you’ll need to consider contents
insurance. Most policies will cover you for fire, flood and
theft but you can also take out cover for accidental damage,
such as if you spill a drink down the back of your TV!
To work out how
much cover you need, it is sensible to take an inventory of
your possessions. Simply go from room to room and write down
all the items in it. Then work out how much it would cost to
replace each item on your list. Add it all up and you’ll
have a very good idea of just how much contents cover you’ll
need.
Particular items
may need to be insured separately as most home insurance policies will have
limits on payouts on individual items. Jewellery or
expensive electrical equipment may fall into this category. |
