A Guide To Home Insurance

know about the levels of cover available to you to help you decide what will best suit your situation.

Guide to Home Insurance

Those eligible for home insurance include:

•    Home owners who reside in the specified property.
•    Tenants who rent or lease the specified property.
•    Owners and occupants of residential apartments.

The terms and conditions of contents insurance normally require that the specified property is occupied solely by the policyholder or holders. It is likely that you will still be eligible for a policy if you share your home with one tenant. However, it is unlikely that you will receive cover if you share your home with more than one tenant or if you let your home.

Home insurance can be broken down into two components, ‘buildings insurance’ and ‘contents insurance’. Generally speaking, buildings insurance covers the cost of rebuilding or repairing your home’s structure if it is damaged or destroyed by an event covered by your policy, whereas contents insurance covers the cost of replacing specified goods. Consumers are often required to purchase home insurance as a condition of obtaining their mortgage, however, they are under no obligation to buy it from their mortgage provider.

When choosing home insurance, there are generally two options available. Consumers can choose to specify ‘perils’, meaning that the policy holder will only be covered for