What is the sen­si­ble pol­icy when buy­ing home in­sur­ance?

Glossop Advertiser - - Property & Living -

that’s been leaky for years your­self.

Both buildings and con­tents cover come cheaper if you can pay the first slice of any claim, called the “ex­cess”. You pay less if you ac­cept the first £1,000 rather than the first £250.

You don’t need buildings in­sur­ance if you rent. And if you live in a block of flats as an owner, you could be cov­ered by a pol­icy for the whole build­ing – you may pay for this in the ser­vice charge.

But you should still con­sider buy­ing in­di­vid­ual con­tents cover in case of theft, fire or flood.

The sec­ond rule is to only cover what you can­not af­ford to re­place. Five year old com­put­ers are vir­tu­ally worth­less – other than the ma­te­rial on the hard disk which is not gen­er­ally pro­tected by in­sur­ance.

Con­tents poli­cies usu­ally have lim­its that ex­clude higher value items. You can in­sure your bi­cy­cle or jew­ellery with­out spec­i­fy­ing what it is on your home cover but of­ten only to a value of £250 or £500 per sin­gle item with an over­all limit of per­haps £5,000. The Pi­casso over your fire­place will not be cov­ered – you may pre­fer to cover high value items with spe­cial­ist in­sur­ers. Be­fore cov­er­ing your home’s con­tents think about what you could af­ford to re­place your­self 1. Re­view poli­cies reg­u­larly to re­flect changes. 2. In­sur­ers of­ten don’t re­ward loy­alty at an­nual re­newal time. Al­ways shop around. 3. Poli­cies of­ten of­fer boiler break­down cover – some­times cheaper than stand­alone plans. Al­ways check for ex­clu­sions – it may be limited to emer­gen­cies only. 4. Cov­er­ing pos­ses­sions out­side the home can be ex­pen­sive. Only take this out if you can’t af­ford to re­place. 5. Some poli­cies cover de­pen­dants liv­ing away – at univer­sity for ex­am­ple. Check. 6. If you base your work at home, it’s gen­er­ally ac­cept­able if it’s just you, a phone and a lap­top. But tell in­sur­ers if mem­bers of the pub­lic en­ter the premises or if you store items for work at home.

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.