You will usually find home insurance includes two main types of cover, contents insurance and buildings insurance. When combined they will undoubtedly give you better protection over most of your assets. They, however, differ noticeably in what they cover individually.
Buildings insurance, something which is a necessity when you take out a mortgage, covers your home, its fittings and fixtures, including kitchens and built-in wardrobes. However, if you require home insurance that covers your house in its entirety i.e. including all the contents, you will also need contents insurance.
Contents insurance can be taken out separately from your main policy, something which is ideal if you are renting a property. One advantage to buying your buildings and contents insurance together is that you are sometimes offered a discount. In addition, you can also reduce the premiums by choosing a voluntary excess and some companies will even offer interest free direct debit payments.
Some Benefits of Home Insurance
Each insurer’s policies will differ, some companies will also offer the following benefits:
* The price of alternative accommodation, should your home become uninhabitable following an insured event (up to policy limits).
* Free accidental damage cover on audio and home computer equipment
* Up to 25 towards switching costs should your mortgage provider charge for this
* New for old replacements (excluding household linen and clothing)
* 24-hour assistance from experienced claims handlers in UK call centres
It is essential to obtain quotes from a number of providers. In addition, before signing up to any policy, you should take a look at the small print. If you do both of these, you should have the ammunition to find the best home insurance policy for you and your needs.
