Searching For Home Insurance? Read This
Home insurance is a security cover for your house. It helps one to protect his house from financial consequences of disasters. Home is one of the most expensive assets a person owns. It is not just an asset but more. A person’s home is where he dwells for most of his time and is the shelter of his dependents. It is the place where lingers the many happy moments of your lives. People work day and night to see their dreams of owning a house come true. Such is the value of a home. Perhaps it is rightly said, “None is a place like home where lies peace and affinity.”
And to maintain you lovely home “lovely”, home insurance plays a vital role. It secures your house against the perils of various natural disasters and accidents.
Home insurance surged in popularity after many people were succumbed to the perils of natural disasters which took destroyed their houses. It is the worst stress indeed when a person’s house perishes and he does not possess sufficient capital to restore the damages.
Home insurance policy should be one you can rely on. How to choose such a policy? Read further to know what does a good home assurance policy consists of:
- Damages to the home’s structure due to any natural calamity or fire break-out
- Lost valuables and general features of the house
- Coverage plan for events like fire, robbery, explosion, housebreak and natural disasters
- Coverage received for loss or damage to jewels and gems (Need to confirm with the insurer)
- Coverage for loss or damage of electronic devices
- Flexibility in paying premiums whether monthly or yearly basis
- Online purchase facility
- Installation of safety devices like theft alarm, smoke alarm and any other such devices help in availing discounts on premium
- Insurance is extended on rented and owned properties
House insurance quotes depend upon various factors like-
- Rented/owned accommodation
- Property type- flat/bungalow
- Property’s age
Finding it hard to decide on the coverage amount? Read further to absolve from this difficulty
Coverage amount is the maximum amount which will be paid when any damage occurs to the home. Reconstruction cost of your house acts as the major factor determining your coverage amount.
The formula to calculate the reconstruction cost of your house is as follows-
Total constructed area (multiplied by) Construction cost per square feet
Most people think that cost of house forms a part while determining coverage amount. However, it’s entirely wrong assumption.
The market value of one’s house can be way higher than its reconstruction cost. Also it’s not a good idea to evaluate loss incurred to the structure. Insurance company’s job is to compensate the insured for the damages incurred and not for providing profit to the insured.
Opting for home insurance policy is a sensible decision. It will act as a robust protection for your most valuable asset.
Also you can then take a sigh of relief knowing that you have things in place if anything goes wrong.