Guide to Homeowners Insurance Policies in the UK

Home insurance policies in the UK usually are made up of Home Contents and Buildings. If you own your home, or are in the process of purchasing you must have Buildings Insurance and it is wise to have both. If you are in rented accommodation the landlord should look after the actual building and so it is up to him or her to buy Buildings Insurance. It is still a good idea to have a Home Contents insurance policy, though. This can cover you against accidental damage and, or, fire and theft of your possessions. What is actually covered is down to you and the terms of your policy.

Home Insurers in the UK have taken a financial battering in recent years. With several areas of the country suffering flooding, during the summer of 2007, home insurance claims went through the roof. However, for perhaps the first time, many people realised just how important home insurance is, if disaster strikes.

Buildings Insurance.

If you own your home, or are in the process of buying it with a mortgage, buildings insurance is essential. This insurance may seem pricey but in reality it is not. One claim, from an event such as flooding, can run into tens of thousands of pounds.

In a worse case scenario your insurance will cover the full cost of re-building a new home that meets the requirements of your old home. If you take a close look at your buildings insurance you will see an estimated cost of what this could be. If you feel that this value of your home has not kept in line with market values speak to your insurer.

Home Contents Insurance.

It makes sense to have home contents insurance, as well as your buildings insurance. If you are in rented property this will be the insurance policy for you. Your landlord should take care of damage to the fabric of your home, that is the floors and walls, for example, but you will need to look after your possessions.

Home contents insurance varies from provider to provider and is usually drawn up to meet your personal specifications. It is possible to add on personal valuables, usually at a small cost.

Buying your Home Contents and, or, Buildings Insurance Online.

Comparison websites can be useful, but some are not as independent as you may think. Still, they are handy in working out just what you want to insure and what the actual price will be.

Many people find that it is handy having home contents and building insurance from the same insurer. As long as the insurer has a good reputation and is well established there should be no problems.

Banks and other businesses, such as Tesco and Asda, now also offer insurance products. The cost of home contents and building insurance is usually a six month or yearly fee. These days though it is often possible to pay this fee monthly by direct debit. If your insurance is from a bank or building society this will be very easy to set up.

Updating your Insurance.

Once you have your home contents and buildings insurance try to keep it up to date. Most people never look at their policies unless they need to make a claim. However it makes sense to check the policy details from time to time.

Additions or amendments may be important. You may find that items, such as an antique clock or vast record collection, will need to insured separately. Check it out with your insurer before you need to make a claim. It may simply mean that your premium increases slightly to cover these items.

Remember that you do not have to stay with the same insurance provider for ever. If you see a better deal then go for it. If you have made a claim on your current insurance within the last few years you may not be able to change insurer just yet.

If you are lucky you may never have to claim on your home contents and buildings insurance. However, if the worst happens, you need to know that you have the support network that good insurance can bring. Such peace of mind is priceless.