To put in simple words, home content insurance provides cover for your personal belongings inside your home in case they are damaged, stolen or in same cases lost.
If you are a home owner, you may have home content insurance as part of your home insurance policy. On the other hand, if you are renting an apartment or a house, it is not your landlord’s responsibility to cover your personal belongings as part of his insurance. Your landlord’s home insurance will cover only the building itself and it is up to you to insure the content of your home. This is an important fact, often overlook by renters who often find out that their valuable possessions are not insured when it is too late. If you are renting, take charge and protect yourself.
Home Content Insurance – How does it work?
You need to calculate the total value of all your personal belonging in your home. Some insurance companies have a threshold for home content insurance policies and if necessary, you may need to declare some of your valuable items separately. Creating a list and describing each item and its value is a good approach. You can do this easily one room at a time, starting with the bigger items and finishing with the smaller ones. Don’t underestimate the value of all the “invisible” items in your home like decorative ornaments, glassware, books and CDs. Individually, they many not cost a lot, but replacing all of them can be unexpectedly expensive. A very popular way of documenting exactly the content of your home is creating a video and filming each room. Of course, bare in mind that keeping this video somewhere safe outside your home is essential.
Home Content Insurance – How much does it cost?
Obviously, the total amount, which you want to insure the content of your home for, will play an important role. Other factors, which every insurance company will consider when calculating your premiums, are the area you live in and your credit score. If you live in a nice neighbourhood where burglary is uncommon, your home content insurance premiums will undoubtedly be lower. It may seem unfair that insurance companies use credit score when calculating rates, but it is a fact that in recent years more and more importance is being place on credit history. Statistically, people with good and excellent credit score are less likely to make a claim and insurance companies take this into account when calculating risk.
A sure way to save money is to compare home content insurance quotes online. Not only will you save time, but you can also find a better insurance policy for far less.
What are you waiting for? Compare FREE quotes now and see if you could be paying up to 40% less.