If you’re not sure what type of home insurance you need for your property or how much coverage you should purchase, this guide explains everything you need to know.
why do you need home insurance?
Although it may not be a legal requirement to insure your home, having the right home insurance policy can protect you from paying huge costs if your property is damaged by fire, flood, subsidence, or if your assets are stolen. belongings.
what types of home insurance can i get?
Home insurance comes in two types:
You can buy these policies separately or in a combined home policy.
what type of property do you want to cover?
Your household can influence the type of policy you should get.
For example, most home insurance policies will cover you if you own a standard construction property, but if your home is a listed building or has a thatched roof, you may need more specialized coverage. Whether you rent or own your home can also affect the type of coverage you need.
If you rent your house or flat, you normally won’t need building insurance. it is your landlord’s responsibility to fix this and fix any repairs to the structure of the building.
However, while you won’t need buildings insurance, it’s your responsibility to make sure your possessions are insured by purchasing a contents insurance policy. this will protect all your belongings such as furniture, electronics, appliances and clothes that you have in your home.
If your property is furnished, the owner must have a policy to cover the furniture they own.
If you’re a student renting with friends or living in college dorms, you may need specific content coverage. Find out how to get the right student home insurance here.
compare student contents insurance here
If you have a mortgage on your home, your lender will generally require you to purchase buildings insurance as a condition of your mortgage. you do not need to purchase coverage from your lender; it’s best to shop around and compare policies to get the best deal.
If you are the absolute owner of your property, you will not be required to take out building insurance. but it’s still worth having coverage if you don’t want to have to pay the bill if your home is damaged.
To make sure your possessions are covered, it’s also wise to take out contents insurance. It’s usually cheaper to combine buildings and contents insurance into a single policy rather than purchasing separate coverage.
Note that if you own a rented flat, the freehold owner will usually arrange buildings insurance for you, so you only need to take out contents cover.
If your home isn’t of standard construction, you may need a specialized insurance policy to cover it. non-standard houses include:
big or expensive houses
If your home is worth a lot of money or has a large number of bedrooms, a standard home insurance policy may not cover it. You may need specialized buildings coverage if your home:
If you have an expensive home, you may also need higher levels of contents coverage to protect your possessions. Some insurers offer high net worth home insurance designed to cover large homes and expensive contents.
many standard policies do not cover vacation homes. This is because most insurers will not insure properties left vacant for more than 30 consecutive days.
You may need to get specific coverage for your property if you only stay there occasionally. Many vacation home insurance policies will also cover homes abroad. This guide explains how to insure your holiday home abroad.
If you need to insure a home that will remain vacant for an extended period of time, you need a specialized vacancy insurance policy. This is because empty homes are more susceptible to damage and theft, so you’ll need a specific policy to protect against these risks.
Here’s how to find the right insurance to protect a vacant home.
You may need a second home insurance policy if you own another property where you regularly stay.
properties with sinking
Most insurers will not cover your property if you have claimed subsidence damage in the past. This is because repairing the foundation of your property can cost tens of thousands of pounds.
Fortunately, some insurers can do this, but they may charge you more and you may have to pay a higher deductible if you claim.
how much coverage do you need?
When you apply for home insurance, you need to calculate:
By calculating the correct amounts, you can avoid paying more than necessary for your insurance. You’ll also reduce the risk of not having enough coverage to replace your contents or repair your home.
See also: What is shipping insurance?