Buying Home Insurance for the first time can be a little confusing. How much cover do you need? What level of ‘excess’ should you choose? What’s the difference between buildings insurance and contents insurance? Are bicycles and mobile phones covered?
As with many things, once you’ve got used to the jargon and been through the process a couple of times, it all makes a lot more sense.
Don’t panic over your home insurance!
However, at your first attempt it can be easy to panic and take out a policy which is inappropriate for your needs and even more expensive than you could have found elsewhere.
Finding a trustworthy, independent broker will help, but firstly it’s important to understand that home insurance has two parts: buildings and contents.
Buildings insurance is there to cover the actual structure of a property, such as the roof and walls. Contents insurance is for your belongings and internal fittings, such as curtains and carpets.
Home cover tips
There are a great number of policies out there, with various exclusions and claim limits, so here are some key tips for what to be aware of when taking out a policy for the first time:
- Combined deals – Look for a policy which combines buildings insurance with contents insurance, rather than buying them separately, as it could save you a lot of money.
- Shop around for quotes – Don’t just accept what your bank is offering. Here at Policy Expert we can help you find the best deals from the best home insurance providers.
- Always ask if a policy is ‘new for old’ – Check that the insurer will swap old items for new ones in the event of a claim; some only give you the item’s second hand value.
- Decide what ‘excess’ you want – The excess is the first part of a claim that an insurer won’t cover; generally, the larger the excess you choose, the lower your premiums. But remember, in the event of a claim you’ll be more out of pocket.
- Rebuild costs – When you’re asked how much buildings insurance cover you want, remember this isn’t based on the price you paid for your home, it’s the cost of having it rebuilt from scratch. If you’re unsure, ask a builder to give you an estimate. The higher the sum, generally the greater the premium you’ll pay.
- Check item limits – Individual items that are highly valuable, such as musical instruments or jewellery, are usually only covered up to a certain amount and might need insuring separately.
- The total cover you need – It’s easy to underestimate the cover you need. You might be surprised how much all the phones, tablets, stereo systems, TVs, furniture, bikes and other items you own would cost to replace.
Policy Expert is an online Home Insurance broker, dedicated to helping customers find the insurance policy that’s right for them. Our customers are at the heart of everything we do, so we have a team of experts with a real passion for making sure people get the cover that’s right for them. Policy Expert is driven by a desire to help you find not only the best value insurance, but the right insurance for your individual needs. To speak to one of our experts, call 0203 014 9300 or email firstname.lastname@example.org