Home Insurance More Important Than Ever

A house fire can be devastating even a small one but what if you were underinsured and had to pay for all the damage out of your own pocket? This could happen if you do not check what is covered in your contents and buildings insurance policies.

Although the majority of people do not change their insurance provider at renewal time there is a growing proportion of the population that do. More and more people are switching insurance companies to save money. If you do end up changing then it is vitally important to check the wording of the new policy to make sure you are fully covered.

Things to bear in mind include insuring the ‘rebuild value’ of the house not the ‘market value’. This means that you will not be left out of pocket if the house needs to be completely rebuilt as the ‘market value’ can fluctuate.

Also check the excess value is the ‘total’ and not just ‘voluntary’ as this could lead to an unexpectedly high excess payment in the event of a claim. Other things to look for are accidental cover, cover for high value possessions and special groups like homes in areas prone to flooding.

It can be a minefield and research is vital if you are not to be left with a huge bill, but it is better to be safe than sorry!