Tips When Buying Home and Contents Insurance

Tips when Buying Home and Contents Insurance

Home and contents insurance is vital part of any property purchase. Most banks require property insurance before approving a mortgage. Insurance should not be thought of as a cost, but a great way to secure your financial future. Should any unexpected event should happen such as a fire you will be covered for repairs and if an investment property even rental income while the property is being repaired.

Some questions you might want to look for in insurance policies are

• What is specifically included in the policy and what is excluded?




• Does the policy cover accidental damage or only specific defined events?




• Make sure that if required, specific items are listed on the policy. Contents policies normally require larger value items to be specifically listed on the policy to be covered.




• Are your contents only covered while on the property or while they are travelling with you?




• Does the policy cover to a specific value or new for old?

Some tips when shopping for an insurance policy

• Don’t just shop on price, shop for value. Policies can cover many different things. Make sure you get the best value for what they cover.




• Make sure you choose an insurer with a good reputation. Insurers have been known to provide additional road blocks when processing a claim to try and save them money. While unethical and in most cases illegal, they can get away with it because they have a vast and talented legal team.

Make sure the value is always up to date. It is always good to check your insurance policy once a year and update the policy dependent upon its current value. The last thing you want is to have the policy under value your property which will result in your out of pocket expense. As always it’s best to consult a professional for advice before proceeding with an insurance policy.

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