9 Top Home Insurance Tips for Homeowners

While it’s stressful and time-consuming to buy a home, taking out home insurance should be easy. We’ve put together must-know home insurance tips to help you when you buy a home.

 Here are some home insurance tips

1. Understand Your Cover

House insurance quotes differ and are tailored for each customer. This makes it important for you to understand what is being covered before signing at the bottom of your home insurance policy. If you already have home insurance but don’t understand what is covered in the policy, contact your insurance agency and discuss the details.

2. Inside or Outside

Homeowner insurance is categorised according to whether it is interior (Home Contents Insurance) or exterior (Buildings Insurance). Understanding the difference and what your house insurance covers is important. Here’s a quick breakdown:

Home Contents Insurance covers you for the items for which you have received a quotation and that are listed by you, as the policy taker,  as valuables. Any items to which you can attribute a realistic and documented value can be recorded in your insurance policy and may include furniture, electronics, clothes, and jewellery.

Buildings Insurance covers the building, including the structure, against damage. The windows, doors, walls, and roof all form part of the structure and would be considered in the quote. Building plans and documentation come in handy for quotation purposes.

3. Leave Some Things Out

While it may seem like a good idea to get Home Contents Insurance for all your household contents, this could lead to excessively high premiums. That’s because your monthly premiums escalate, the more you insure. Consider insuring valuables like jewellery separately instead of including in household contents insurance.

4. Consider Inflation

As most home-owners keep their property for many years it should be valued regularly as it’s value increases over time, for example, according to inflation.  If this is the case, contact your insurance agent to check that your valuation and insurance premium are correct. We suggest doing this annually.

5. Ask About Discounts

Some insurance companies offer various benefits and specials for both new and existing customers. Call or email your insurance agency to find out if you qualify for any of them? Follow your insurers social media accounts and subscribe to their newsletters as they usually advertise specials using those platforms.

6. Beef Up Security

Insurance companies make risk-based assessments based on crime statistics before putting up their premiums. You can cushion these increases by enhancing your home security. Install security cameras, electrified fencing, or the latest burglar alarm and enlist the services of a private security company to help increase your security. Never rely on an ineffective DO NOT ENTER sign.

7. Update Often

Have you installed a new security system, redesigned the kitchen, or added an extra bathroom? If so, contact your insurance agency and update them regarding these developments so they can re-evaluate your insurance appropriately. Although this may result in a premium increase, you will be accurately covered if something goes wrong.

8. Do Some Administration

Keep track of everything, from quotations and emails to receipts and documents. The more information you have on record the better for you in the event of a claim. If you buy a new couch or cellphone or re-decorate the bathroom, file all the documentation. Then take your personal administration one step further by scanning all documents and uploading them into your cloud. In the event of a disaster, you won’t have to stress about losing the records and will be able to approach your insurance agency with confidence.

9. Stay With the Same Insurer

Try to keep your entire portfolio with one insurer as this will help you qualify for discounted premiums on various short term insurance products.

We recommend loyalty when you have made your choice. 

As insurers factor in risk when signing up customers, you may be charged more if an insurer suspects that you will change your insurance company again soon.  Although we encourage you to shop around and look for quotes before taking out home insurance, we recommend loyalty when you have made your choice. 

Sources: Fox Business, Bankrate, Investopia

All the information and statistic garnered from named sources detailed within the written article are correct at the time of print and may be subject to change over time without the knowledge of the publisher after printing and publishing dates.