Home Contents Insurance Article

A Basic Guide to Home Contents Insurance

If you are new to the world of home contents insurance, it can seem like a complicated puzzle. It has many pieces of jargon that will leave you scratching your head and the policy booklet can be as thick as a doorstop. Home contents insurance is relatively easy to get your head around by taking a little bit of time and gathering all the facts; this way it will soon make a lot of sense.

Firstly, there are two basic types of insurance, namely buildings and contents. The buildings insurance actually covers your property and all of the fixtures and fittings. Contents insurance covers all of the other items that are found in the home. One way to view it is that if you turned your house upside down, everything that fell out would be classed as contents. Similarly, certain buildings in the surrounding area of your home, such as a garage or shed, can be classed under contents insurance. If you are unsure, then it is best to check with your insurance company.

The basic contents policy that most insurers provide will cover you for situations such as flood, lightning, riots, fire, theft or attempted theft, subsidence and storms. Many people are under the impression that accidental damage is automatically included in their policy, but this is not always the case. It may well be that you will have to add this as additional cover to your contents insurance policy.

The kinds of items that usually claimed for include electrical appliances, jewellery, furniture, carpets, bicycles, games consoles and money (although this is not always automatically covered either). If you have a warranty for your electrical items, this does not mean that they will be replaced by the manufacturer. Warranties usually only cover the appliances in the case of a break down and sometimes for accidental damage. This means if your fridge is ruined by a flood, the warranty will not cover it being replaced. This is why it pays to have some form of home contents insurance.

The best way to get your head around your home contents insurance policy is to read the booklet that comes from the insurers. Many have a glossary at the back which explains some complicated issues in layman?s terms. The booklet will also tell you what is not covered by the insurance policy that you have taken out with the insurer. If you are still confused, then you can contact the insurance company direct. They have well trained advisors who will only be too happy to help you with any queries that you have.

Even though home contents insurance is a personal choice, don?t let the seemingly complicated appearance put you off. It is better to have the protection in place and take some time to understand what cover you have got, than to wait until it is too late and have to replace all your contents out of your own pocket.


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