Home insurance is something we always hope we'll never need, however it's important to pay attention and check it from time to time, to ensure you've got the right amount of cover should the worst happen.
Honey, we need to talk about home insurance…
Look, we get it. Home insurance is never going to be the hot topic between you and your family. However, it doesn’t have to be boring. A simple check from time to time will give you the peace of mind that you have the right cover at the best price. Home insurance help is readily available online, so do your research!
Different types of cover
We’re going to focus on building insurance; that is, the cover you need to pay for any repairs or a rebuild should your home be impacted by a fire, or similar.
There are two main types of building insurance – Total Replacement Cover and Sum-insured Cover
Total Replacement Cover will likely give you the greatest peace of mind. It means your insurer will completely replace your home to the same standard and condition it was in prior. This type of cover isn’t as common as Sum-insured.
Sum-Insured Cover is the more common. This cover means you set a pre-agreed dollar amount to which your insurer will pay up to.
Things to look out for
If we look at Total Replacement Cover first, there can be issues when proving to your insurer what your home was like prior. Keeping records of renovations or improvements (even using your Realy profile to reference) means you’re more likely get a quick claim sorted. The more information you have to share with your insurer, the better.
Sum-insured Cover is more common, but that doesn’t mean it’s not without its issues. The main issue is the fact you may be underinsured. If you improve your home, or certain building costs go up in price, you may have a shortfall if you want to rebuild to the same standard. Again, it’s best to keep track of any home improvements you’ve made or value you’ve added. As a home owner, you know your home best so keep tabs on its condition so you can then check this against your insurance from time to time.
Use your free Realy profile to keep a note of anything from new floors, a new kitchen, or more major building work.
Remember… it may not be the most exciting thing to think about, but home insurance is important! Knowing that you can get your family back into a home quickly will give you real peace of mind.
Sign up to Realy now for free to create a Digital Identity for your home, and to keep track of its condition and improvements so you’re well prepared should the worst happen.