HOME INSURANCE

Cheap Home Insurance 

There are three main home insurance policies: buildings insurance, contents insurance and combined building and contents cover. Buildings insurance cover protects the structure (the fixtures and fittings in your home), while contents insurance covers your belongings. Combined buildings and contents cover is only suitable for people who own the freehold of their homes. If you rent or own the lease only, buildings cover should be handled by your freeholder or managing agent. Contents insurance, however, is your responsibility and should be considered by everyone.

Included: What does home and contents insurance cover?

The contents part of your insurance protects you against damage and theft to possessions in your home, garage and shed.

The buildings part protects the structure of your home and permanent fixtures and fittings, such as doors and sanitary equipment (baths, basins, toilets and showers).

It can differ from policy to policy, but home insurance will usually cover damage from storms, flooding, earthquakes, fire, lightning, explosions, theft, riots and vandalism. It also covers damage from falling trees, motor vehicles and escaping water (such as a burst pipe). Your cover should also protect you against subsidence (a shifting of the ground, which can cause your house to sink).

If you need both building and contents insurance, buying combined insurance can be cheaper and limit any disputes among insurers, for example, if you need to make a claim affecting both the structure of your home and its contents, such as a flood.

Should you decide to buy two separate policies and you need to claim, there may be arguments between your two providers over who should cover what. It is rare, but it is possible.

Most policies will also cover the cost of a hotel or B&B if you can’t stay in your home following a fire or a flood, replacement keys and locks if they are damaged or your keys go missing, spoiled food if your freezer breaks down and the replacement of cash stolen from your home. There are limits on how much you can claim for, so if you’re concerned about fancy frozen goods or you have cash hidden in your mattress, check your policy carefully.

Both contents and buildings policies give you legal liability protection as the occupier and owner of the home. This means that as part of the contents policy, the insurer will cover you and your legal costs if a visitor to your home is seriously injured and it’s deemed to be your fault. A buildings policy will do the same if the structure injures a passer-by or visitor, or damages a neighbour’s property.

Eight home insurance need-to-knows

You may have mastered the basics of home insurance. But are you confident you can get the right cover at the right price?

1. Don’t over-cover buildings – rebuild value is what counts

2. Don’t under-cover contents – your claim may be cut

3. Never auto-renew. Loyalty is expensive

4. Getting insurance three weeks ahead can save 20%+ 5. Better locks pay for themselves

6. Beware monthly repayments, they’re really a loan

7. Consider if you really need add-ons such as mobile phone or accidental damage cover 8. Working from home? You only need to tell your home/contents insurer if you’ve brought stock home or have business visitors

We all have personal possessions we want to keep safe, and when we’re at home they’re normally protected by home content insurance 

For example if your phone or laptop was burgled or your furniture was damaged by fire or water, depending on your the terms of the insurance , you should be covered for the loss.

However, because most people carry around things like wallets and mobile phones, it’s important to make sure you’re covered in case something is missing, broken, or stolen. This is where personal belongings insurance can help.

What is personal possessions insurance?

Personal possessions insurance covers your personal belongings against loss, damage, or theft when you take them outside your home. The items covered can differ from policy to policy, and you will sometimes need to specify what you want to protect.

It’s possible to find personal possessions insurance that covers:

• Mobile phones
• Laptops
• Tablets
• Cameras
• Wallets, purses, and handbags
• Cash
• Keys
• Jewellery
• Clothing
• Musical instruments
• Bicycles