House Contents Insurance
House contents insurance provides you with protection if something happens to the contents of your home.
It is a good idea to take out house contents insurance if you do not already have this type of insurance cover under your basic homeowners insurance policy.
House contents insurance will normally cover household goods, personal belongings and business equipment owned by you. This may include cover for pedal cycles (up to a set amount), money (again up to a certain amount) and fixtures and fittings in the home.
You will find that there will be exclusions stated in your basic homeowners insurance policy under the contents section of cover. Common excluded items may include caravans, trailers, livestock or pets, landlords’ fixtures and fittings, and any part of the buildings and property more specifically insured.
The basic homeowners insurance policy will state what contents are insured against. Normally this will include the following: loss or damage caused by fire, smoke earthquake, explosion, lightning, riot, civil commotion, strikes, malicious acts, vandalism, storm, flood, subsidence, theft or attempted theft, escape of water from i.e. a washing machine, leakage of oil from heating installation, falling trees and branches and may also include insurance against accidental damage to business equipment, radios, computers, televisions and so forth.
Common exclusions in contents cover under a basic homeowners insurance policy:
• The excess (as shown in the insurance schedule)
• Loss or damage caused by you
• Computer virus
• Loss or damage during a period of unoccupancy
• Loss or damage caused by domestic pets
• Wear and tear
• Electronic failure
The above list is not exhaustive and you should check your basic homeowners insurance policy for details of the exclusions as every homeowners insurance policy will be worded differently and may include or exclude certain items.
Additional items
Your basic homeowners insurance policy may provide cover for other things.
Alternative accommodation
Your policy may provide cover for the cost of expenses incurred during the period your home is made uninhabitable.
Loss or damage to your contents during household removal
This would cover accidental loss or damage whilst the contents are in transit between your home and your new home.
Theft of keys
This will normally cover the cost of replacing and installing door locks including keys for external doors in your home if your keys are stolen.
Personal assault
There may be a section of cover for money to be paid to your personal representatives in the event of your death as a direct result of injuries received in your home caused by thieves.
Freezer contents
You will find that a basic homeowners insurance contents policy will normally include cover for food in a freezer cabinet or compartment of a refrigerator made unfit for human consumption due to a rise or fall in temperature or contamination by refrigerant and so on. The insurer will normally also pay the cost of hiring temporary alternative freezer space as long as the cost is reasonable.
Credit cards
There may be cover for any losses as a result of fraudulent use of your credit cards by unauthorised people.
Other sections or cover:
• Oil and metered water loss
• Jury service
• Special events
• New purchases
• Reinstatement of documents
Claims settlement
The basic homeowners insurance contents policy will have a section stating exactly what the insurer will do to replace or pay for stolen or damaged items.
Normally the homeowners insurer will have the option to either replace as new, pay the cost to replace as new, repair or pay the cost to repair. It is likely that the insurer will be able to make a deduction for wear and tear from the cost to the insurer of replacement or repair in certain circumstances.
The insurance schedule will state the maximum amount the insurer will pay for contents. However you will find other amounts listed in your policy i.e. it may state £500 to cover theft of you keys.
It is a good idea to shop around for quotes when considering purchasing house contents insurance. When comparing different policies make sure it is clear what is covered, the extent of the cover and what is excluded to ensure you know exactly what your house contents insurance covers you for. You can get an instant and cheap homeowners insurance quote either online or by using the telephone.
