4 Things You Need to Know About Insurance for Your Home

Do you understand your insurance policy completely and know what to do when you need to make a claim?  Many homeowners wait until they have to submit a damage claim to find out what protection they have in place.  Let’s look at 4 very important things that you need to know right now about your household insurance cover.

1. You should buy the right insurance and know what you have.  It’s wise to review four select areas so that you’ll have adequate protection when you need it.  These four areas include:

• Your home’s structure
• Your possessions or belongings
• The liability you have to others
• Your living costs if you have to relocate

It’s important if there’s a disaster for you to be able to rebuild your home and replace your belongings; you will want to return to the original state of occupancy as closely as possible.  You also want to be protected in case of litigation against you for an accident or injury at your home.

2. Make sure that your insurance is for replacement value.  You’ll want to replace all of your belongings with the same type of items and you know that costs are continually rising.  You must be sure that your contract states in detail that replacement costs will be covered by your plan.
3. You should understand how to file a claim and how it will be processed.  You’ll want your broker to explain all of the details to you; make notes for your own personal records if you can’t remember all of the information that he gives you.  You’ll want to know the timetable for payouts, how long you’ll have to wait, and where you are to live while reconstruction of your home is taking place.  These are all important questions to ask before you need to know the answer to them.
4. Have an inventory documented in a safe location.  When you file a claim, you have to prove that you owned certain items and you must also verify their worth.  Keeping receipts for your purchases may seem like a cumbersome task but if you are organised and file them away as you make your purchases, you’ll have impressive documentation that is valid evidence of ownership and value.  Take pictures and videos and make notes of all of your belongings; include your basement and garage so that you’ll have your entire home contents covered.  Be sure to keep your documentation in a safe place where it won’t be lost or damaged. 

As you begin to shop for insurance, try requesting a quote to help you get started.  One reliable company, Santam, can provide you with a free home insurance quote and help you find a broker who is close to your location.  You can meet with one of their professionals and begin to discuss which plan would work best for your needs and can work toward getting your cover in place right away.  Protecting your family’s future can provide you with peace of mind which is worth its weight in gold.