Blog Beginner's guide to home and contents insurance

Beginner's guide to home and contents insurance

20 September 2017
Beginner's guide to home and contents insurance

Your home is your most important and most valuable asset, which is why you need to protect it. One way you can protect your home is by insuring it, including the contents. If you’re not familiar with Home and Contents Insurance, here’s a quick guide to help you get started:

What is Home and Contents Insurance?

Home and Contents Insurance is a type of financial protection for your home and its contents, which covers the cost of damage from natural disasters, fire, theft, or vandalism. Although they usually come together, Home Insurance and Contents Insurance are two different things. You can have only one if you like but most people combine them.  

Home insurance covers the structure of your house and its fixtures including the walls, floor, and ceilings. On the other hand, Contents Insurance covers the possessions you have inside your home. If you’re renting, having Contents Insurance will be more useful since your landlord will take care of the Home Insurance covering the rental property you’re living in.   

Why do you need Home and Contents Insurance?

You’re probably thinking that Home Contents Insurance is just another huge expense that will be added to your piles of bills to pay. But you will need it if anything happens to your home. If you’re still on the fence, you should seriously consider it. Here are some of the benefits:

  • It protects you from liability when other people cause an accident in your home.
  • It can cover the damage caused by animals that don’t live in your home.
  • It will keep your valuables safe from theft, malicious damage, fire, and natural disasters.
  • It can cover accidental damage to your windows.
  • It can cover emergency repairs to prevent further damage.

How to find the best home insurance policy?

When looking for the best Home Insurance policy, research is the key. It makes sense to examine the coverage of the policy to see what events it covers and if it provides coverage for all of your items, as there may be limits to what is insured. For instance, there is often a limit of $2000 for jewellery unless otherwise specified.