Searching for a new home insurance policy can be a time consuming and confusing proposition, due to the number of policies available and the technical jargon that is employed in a bid to make you part with your money. Don’t be sucked into the bidding war for your valued business without first equipping yourself with these handy pointers in order to help you make a saving.
What would I replace?
As we pass through life we inevitably accumulate numerous belongings – some of which are necessary, some of them we care about a great deal, but there are others that are just there! When taking out household insurance it may be a good time to re-assess exactly how much you value those items that have been gathering dust for many years. If you wouldn’t want to pay to replace them, perhaps it’s worth leaving them off your inventory so that they are not included in your premium payments. You should however be aware that if you do this and fail to get rid of the objects in question, you may find yourself underinsured when it comes to making a claim.
Many insurance companies will try to tempt you into thinking it will be cheaper to combine both your buildings and contents cover into a single policy. While this may appear to be more convenient for you, it is worth investigating whether an aspect of your requirements or a quirk of your location (for example, you live in an area with a higher than average risk of burglary) means that the total sum of your payment has been tainted by that one particular detail. In this case, separate policies that are more neatly tailored to your specific needs will undoubtedly work out cheaper.
If you are lucky enough to own a property without having to take out a mortgage against it, you may feel that it is unnecessary to hand over your cash to a company that will not return it to you should you not need to call upon their services. Instead, you could put the money into a high interest savings account and keep it to spend yourself in the event of an incident in your home. Please be aware that this option is particularly risky, even if you are just considering it for the contents section of your cover. Were you to be burgled two months after taking out a properly detailed household insurance policy, you would be covered above and beyond what you had already put in. As for the prospect of losing your entire property after it being destroyed in a disaster – the results of not having a buildings insurance policy would be completely devastating to all but the very wealthiest individuals.
Finding a provider
If you feel that you know what you need and are ready to shop around, it is important to choose a company that gives you all the information that you require upfront and in language that you can easily understand. Numerous providers try to make it simpler than it has ever been to take out household insurance – try Swiftcover for a truly hassle-free browsing experience when investigating which policy is best value for you.