Home insurance is the perfect example of something you might rarely use, but that you still need to ensure you have. This is because if you ever face a time where you do need to use it, and you don’t have it, you can find yourself heavily out of pocket. However, simply going to an insurance broker or to a price comparison site and taking out home insurance is not what you should be doing. While the process of getting home insurance should, in theory, bring to your attention the things that matter, this is not always the case.
What You Need to Know
The first thing you need to decide is whether you need contents, building, or a combined policy. If you are a homeowner than an all-in-one home insurance policy is usually cheaper, while tenants should stick to contents insurance, provided they have checked their tenancy agreement and are happy that their landlord or letting agent has responsibly taken out the correct level of buildings cover.
Having an adequate policy doesn’t stop there, however. Many people love taking out home insurance because it is easy to get cheap premiums. They will often say that they have very little in the way of possessions or valuables in order to get the cheapest policy possible. However, you should be honest with what you own, even if that does mean paying a higher premium.
At best, trying to “fiddle” your insurance policy will mean you cannot claim for something when it is damaged or broken; at worst, you could see yourself subject to a criminal investigation for insurance fraud.
How to Cover Yourself
The most important thing about home insurance is ensuring that you never put yourself in a position where you are likely to see claims invalidated. This goes back to being honest when seeking a quote, but then extends into what you do every day. Many people do not realise, for example, that if they leave a door or window open and your house is then burgled, you might not be able to claim in part or in full. This can be true even if a burglar didn’t use the open door or window!
Another important point is that you should aim to look after everything; too many people take a cavalier attitude to how they care for their belongings because they think their home insurance can bail them out.
Always get home insurance that covers your personal belongings when outside of the home, too. This will save you a lot of money against the cost of individually covering a mobile phone, iPad, bank cards, and various other items you might typically carry. At the same time, always check what insurance you have before adding extras to your policy; it is very easy to end up having your passport, mobile phone, and credit cards insured three or four times over without realising if you just mindlessly tick boxes and accept everything that is offered to you!
Make sure you get yourself the best home insurance cover by understanding the cover you need and being honest when seeking a quote; you might never need it, but life is easier when you know you have it.
Author Bio: Jonny has recently renewed his home insurance policy using a broker, and was so impressed with the service he is going to use them when renewing his taxi insurance in the New Year.