Home and contents insurance is a necessity, something that
we cannot overlook, but are you paying too much for your policy? Many people
simply stick with their current insurance provider – it’s convenient and
stress-free, after all – but this may not be the most economical, or the best
insurance, way to go. Different personal circumstances mean that some policies
can be more appropriate than others and, as with many such policies, it pays to
read the small print to understand exactly what you are paying for.
Check your Cover
When you take out a policy the best advice is to carefully
check the cover that you are paying for: make a list of what you need to be
covered for, and take into account individual values of items and property
covered, and talk to your broker about the possible additions that you may want
to make. One thing to take note of is the maximum amount that you are covered
for on any one item: this can be quite low on cheaper policies, yet much more
on more expensive options.
Rebuilding Costs
One of the more complex areas of insurance is in assessing
the rebuild costs of your home in the event of a fire. There are many different
aspects to take into account, but what is essential is that your insurer will
agree to pay only the cost of rebuilding the property: if you are paying for a
policy that insures the home for more than the rebuild costs you are paying for
something you do not need. Make sure you understand precisely where your cover
begins, and ends.
Shop Around
We know it’s an old cliché, but shopping around for the best
deal really is an excellent move. If you get a better offer of a similar policy
from someone else, but prefer to stay with your current insurer, go back to them
with your new quote and see what they can do for you. You may be surprised at
the way they accommodate you in order to keep your business.
