The insurance assists in covering the cost of repairing or replacing damage to your home, garage, other outbuildings, and permanent fixtures such as built-in wardrobes or plumbing. Accidental damage cover is a more comprehensive home and contents insurance which includes the basics as per the defined events policy but includes cover for accidental loss and damage to your home and personal property. It is extremely important that you insure your assets for the correct amount because in the event of a major loss or a partial loss you could be penalised if under-insured.
Imagine if you came home one day and everything – and I mean everything – inside the house had vanished. All that was left were bare rooms and a stunned look on your face. Radical as it may seem, when it comes to possessions, starting with an imaginary clean slate is a good idea because it forces you to think about what you really do value. Then, as you move through each room of the home, you can mentally note what furnishings and contents should go where and how much it would cost if you had to buy all new replacements right now. Scary thought!
This immediately translates to how much you should insure the contents of your home for. Most people do a blanket “guesstimate” and then leave their contents policy as is for years on end – completely forgetting about all those new and improved gadgets, goods and furnishings they buy in the meantime. Speak to your Broker as we can supply information guidelines that can help you calculate your contents approximate value.
While it might be tempting to take out the cheapest available policy, don’t forget that there are a range of things that aren’t automatically covered by a basic package and specific items may need to be added as extras. Here are a few ‘contents’ that might not be covered under your policy…Many insurers provide limited cover for precious valuables such as jewelry and artwork. For example, that extremely precious $10,000 diamond ring of yours might only be covered up to $1,000! You can add full coverage to these items as an extra by specifying the individual values, but this can add significantly to the cost of your contents insurance premium. Collections are things we love and derive great please from. We need to make sure that they are specified on your policy and a close value determined. Your Broker can advise you on this.
The correct insurance policy arranged by your Broker can cover you for personal effects away from your home. Items like jewellery, phones, push bikes, laptops, iPads even your golf clubs. Sometimes the direct insurance market exclude or severely limit cover for items away from home therefore you should speak to your professional Insurance Broker for guidance in protecting your assets.