For a lot of people, their home is the most expensive investment they will ever make. It takes most people years to get their first home, and it is therefore important to protect the home as best they can. Home insurance gives homeowners the peace of mind of knowing their home is protected and that they will be able to fix it if anything goes wrong. Before buying home insurance, it is important to understand what it covers so you are better informed when shopping for a policy.
Types of Home Insurance
There are two main types of home insurance: contents and buildings insurance. When you think about home insurance, you are likely thinking about buildings insurance. This is an insurance policy that covers the physical building you buy. It covers all structures such as the roof, walls, floor, windows, and other permanent parts of the house such as the basement, bathroom, and kitchen.
Contents insurance, on the other hand, covers everything inside your house. Depending on the policy, this can range from furniture and electronics to personal belongings like jewellery.
It is entirely possible to have either of these types of home insurance, but many insurance policies combine them into one comprehensive policy. If you are a homeowner, you might find that you have both if you read your policy’s terms and conditions. For tenants, the landlord will usually have buildings insurance and you can get personal contents insurance on your own if you prefer.
What is Covered?
Home insurance is meant to protect your home from unforeseen events like fires, floods, and storms. These events can lead to thousands of pounds worth of damage, and you do not want to cover that on your own. However, insurance companies do not cover tear and wear, which is expected as you live in a home.
It is important to note that insurance companies will also not cover existing damage. For example, an insurance company might decline to pay for a roof replacement if there was existing damage that is exposed by strong winds. Something out of your control such as a tree falling on your roof will be paid for.
Another thing that might be covered is accidental damage. Accidents such as falling through your roof when cleaning might be covered, but you usually have to pay a premium to get this covered. Knocking a TV over can also be considered accidental damage covered on your additional insurance policy.
Contents insurance will pay for damages and theft of personal items. If a TV is damaged during a flood, for example, your contents insurance should kick in, and you will be compensated. The same goes for theft during a break in, where both contents and buildings insurance would kick in.
Different insurance companies will cover different things and so it is important to explore your options when shopping for insurance to ensure you get the best coverage. The premium will also vary depending on what the insurance covers. If you are in North Ireland looking for affordable home insurance, you can find great coverage through comparison platforms like CompareNI. CompareNI makes it easy to compare insurance providers and get great deals on home insurance in Northern Ireland. All you need is to fill out your details and they will compare quotes from 30 home insurance providers to get you the best deal possible.
Home Insurance Add-ons
In addition to the basics covered above, you could also buy additional coverage in the form of add-ons. A popular add-on is a home emergency cover. This cover deals with all kinds of emergencies in the home. These emergencies can include plumbing and wiring issues, broken heating systems, blocked drains and emergency fixes for your roof. If the emergency makes it hard to stay in the house while it is taken care of, some insurance providers include accommodation coverage.
Another add-on is bicycle cover. Your bicycle will be covered by your contents insurance while it is on your property. However, you will take your bike out and maybe leave it locked in place while you enjoy a meal at a restaurant. Some insurance providers will cover damage or theft in these circumstances. Global coverage is also available, but it costs a little extra.
Exclusions
All insurance policies will have exclusions, i.e., things they do not cover. Wear and tear is one such exclusion. Others might include deliberate damage, damage caused by pets, frost damage and damage caused by insects, birds, and pests.
Boilers are also usually excluded unless you get specific coverage for the one in your home, and many policies won’t cover you for damage that happens during renovation work.
Lastly, many insurance providers will void your policy if you leave home for more than 30 days. This is because the risk of damage or theft increases the longer you are away from home.
Home insurance is something every homeowner should get. It will save you a lot of money, time and worry if your home is ever damaged or personal belongings are stolen.