Contents insurance is essential for both homeowners and tenants.  This protects your possessions in the event of damage, loss or theft.  Contents insurance can be made cheaper with the addition of security extras such as an alarm or extra locks.  Contents insurance can also be designed to cover your shed and garden contents.  If you have valuable items they can be listed separately on your policy for an extra charge; this allows you to cover their exact value. 

Buildings and contents insurance policies are combined policies that cover both buildings and contents.  It usually works out cheaper to buy these together through the same insurer and at the same time.  It is worth shopping around to find a policy as most companies will be happy to undercut each other.  If you are happy to have a higher excess applied to the policy then you will find that will help to bring the cost down. 

Extras such as legal protection can be added to household insurance policies.  These will cover you for legal assistance in the event of any problem, even if it is not related to your house.  This usually comes at an extra charge, and it can be removed if you already have it on another policy. 

Students can often get preferential rates for their contents insurance and there are a number of insurance providers that have a special category for students.  This will cover the belongings of students whether or not they live in halls of residence or in a private rental property.  Students who live at home will normally be covered by their parent’s contents insurance. 

Tenants who are living in somebody else’s property should have contents insurance.  The owner of the property will normally only have buildings insurance if they are not living in it themselves. As you cannot expect someone else to have arranged cover for you; will need to perform this task yourself. 

You should also be aware that if you only have basic contents insurance you may not be insured for any high value items that you have in the house.  Anything that has a value of more than a few thousand pounds should be listed separately on your insurance policy.  You may need to provide receipts and photographs so that your insurance company has all the relevant details in the event of a claim.  This applies to anybody who has a contents insurance policy. 

All mortgaged houses require buildings insurance, although if you’re renting you may find that the landlord of the property already has it covered, in which case you need only insure your personal effects.

Buildings insurance gives you and of course, the lender protection against physical damage through flooding, fire and the like, when the house may be so damaged that it has to be rebuilt. Buildings insurance effectively constitutes security on the loan for the lender.

Contents insurance is for items in the house that are not fixed in place, such as furniture, jewellery and other possessions and you can usually also cover the contents of the fridge and freezer.

Indemnity insurance replaces like for like and is the cheapest form, with items being replaced with others of the same age and make, wherever possible. New for old cover is more usual, with brand new items of the same type replacing the lost, stolen or damaged ones.

Contents and buildings cover are optional if you own your property outright, but highly recommended. Unforeseen events have a habit of occurring and it could prove very expensive if you are not covered. If you have a mortgage then you will have to take out buildings insurance, for the lender’s protection as much as for your own.

The first type of policy is a new-for-old or replacement as new policy.  Under this coverage, the insurance company will meet the full replacement cost of any goods that are lost, stolen, damaged, or destroyed.  Many household items are covered in this manner under a basic home contents insurance plan.  Always check for policy exclusions to be completely sure.

The second type of insurance policy is a wear-and-tear or indemnity policies.  This coverage will provide a payment to replace or repair items, but with a calculated reduction for the item’s depreciated value.  Wear and tear are estimated and deducted from the full cost of the replacement for the item.  Excesses typically apply to this type of insurance under a contents insurance plan. 

Of course, limitations and exclusions exist on just about every insurance policy available.  Artwork, ornaments, jewellery, and other high-end items are typically limited for coverage; in this case, insuring the items individually is usually a less expensive way to extend contents insurance.

Finally, as economic inflation occurs, it’s important to ensure that your policy takes this increased value into account and recalculates your possessions’ worth.  Compare home insurance policies to obtain the best one for your individual needs.

Did you know that one in every three homeowners will be burgled at some point? You may think that because you don’t own much, you are safe; maybe your house isn’t an attractive target. Alternatively, you may believe that because you have a house alarm you’ll be safe, but that isn’t always true. Opportunistic burglars are always on the lookout for people to steal from and that includes you and your home.

What’s more, burglary isn’t your only worry; there are also floods, fires, bad storms and other events of nature that might affect your property. Whatever precautions you take you can’t prevent them, no one can.

The bottom line is that if any of these things happens and you aren’t covered, the results can be catastrophic. One seriously bad event and your financial life, as well as the ability to ever own another home, could be in ruins.

Today’s home insurance products offer something for everyone. Whether you own a grand mansion or a small flat, whether you are a tenant or the landlord, a comparable home insurance quote is easily obtained by anyone with access to a telephone or computer.

However, there are additional exclusions that may apply to these external fixtures.  Fences and gates damaged by floods are not covered, for example and any claim for subsidence must also affect your house in order to be considered, so you need to make sure you are aware of the limitations of the policy you have and arrange extra cover if you feel that you need it.

Buildings insurance typically covers damage which has been caused by flooding and fires, smoke damage, heavy storms and lightning, subsidence, damage caused by vandalism or theft, damaged caused by a water leak (although repairs to the leaking pipe or tank will not be covered) and any damage caused by an aerial or a satellite dish (although the item itself will have to be claimed for under a contents insurance policy). 

You can also claim for some expenses that may be incurred as a result of damage to your home and property.  You may be able to claim accommodation expenses if your home cannot be lived in while repairs are carried out.  You may also be covered if you damage someone else’s property.  Some insurers will include this in the cost of cover and others will add an extra charge for it.

You may also find different levels of excess will apply to different types of claims.  Again, this will depend largely on your insurance company and it is becoming more and more common for insurance companies to have just one charge applicable to all claims.

The only thing that will vary is if you need to make a claim for subsidence.  The damage that can be caused by this means that the cost of repairs is extremely high, so many insurers have an excess of around £1000.  This may seem a lot, but if you were to pay for the repairs yourself you may find that you would be paying out 30 times that amount, depending upon the amount of damage.  You should keep in mind that if parts of your home need to be redecorated as a result of the damage sustained, your insurers will also cover that cost. 

When you pay for your house insurance it may seem harsh that you also have to contribute towards any claims, but you should bear in mind that the cost of repairs is usually a lot more and having an excess in place helps to prevent people making claims for anything and everything.  This in turn can help to keep the cost of insurance at a minimum since only genuine claims are made.

Letting and estate agents have a difficult job and there are different issues to consider for residential and commercial properties and all of the legal requirements for each can be daunting. However, there are some things every letting and estate agent should know; one of those things is insurance.

When someone is looking to buy or even let a piece of property, there may be many things the potential client may not know. For someone that has never taken these steps before, it is unlikely that he or she will know how to approach purchasing insurance policies. The letting or estate agent should be well versed in various types of insurance so that the process is made as easy as possible for the client. While an agent may think, “That’s not my job,” having that extra knowledge may mean the difference between closing a sale or losing a client to another, better informed agent.

It is wise to be prepared when meeting a new client. This may mean that you have a portfolio put together regarding insurances or perhaps you will just have a chat. Regardless, teaching a client about buildings insurance, contents insurance and household insurance will benefit you both in the end.

Home contents insurance, as well as covering you against criminals, will also protect against accidental damage such as that inflicted by a power failure, when your freezer’s contents may well have to be thrown out. It may also cover property in the garden and usually will also apply to possessions you take out of the house on a regular basis. These typically include watches, jewellery, handbags, mobile phones and suchlike. You must remember that if you take these items away with you on holiday you’ll almost certainly need some form of travel insurance to protect them.

Buildings insurance is something you have to take out when you get a mortgage, as it is the lender’s security on the loan. This insurance covers the cost of rebuilding your property should it be severely damaged or destroyed by events such as flooding and subsidence.

It’s a good idea to compare home insurance deals on the Internet or by having a chat with a broker or your mortgage lender. It is certainly worth spending some time searching for a home insurance quote that fits your individual requirements.

The area you live in is a very important factor.  For example, if you live in a high crime area then this will affect your house insurance, as a theft not only means that you lose some of your possessions but that there may be damage to doors and windows, so the higher possibility of a theft automatically means a higher cost of insurance.  Taking extra security precautions such as an alarm and window locks can help to reduce the risk and keep the policy costs as low as possible.

The area you live in also takes into consideration any flooding risks, so if you are near a river where there are few flood defences your quotes could be high, particularly if you have been flooded in the past. 

Age can also be a factor in home insurance quotes.  The over 50s often qualify for extra discounts, although much younger people may find that their age goes against them as they may be considered to be a high risk group by some insurers.
 
Cost is also affected by any claims that you may have made in the past.  If you have made several claims then this will put your premiums up dramatically.  The longer you can go without making a claim the cheaper your policy is likely to be.