Homeowners insurance mistakes to avoid

For most people, their home is the biggest asset they’ll ever own. If something were to happen to it, there could be devastating consequences. We probably don’t need to tell you how important it is to have home contents cover that covers your home contents and other buildings on your property for a range of eventualities. But are you aware of some of the common pitfalls homeowners make when they buy buildings insurance? If not, read on to find out so you can avoid making these mistakes.

Under- or over-insuring

Under- and over-insuring are common errors. You might think it’s worth it to insure your home for less than you should so you can pay lower premiums. Or that higher-than-necessary premiums will lead to a higher payout if you ever claim. However, the first will result in an inadequate payout, while the latter simply won’t happen; a homeowners insurance company won’t pay for more than what the building is worth.

Having said that, insuring your home for an accurate value is easier said than done. It’s not a good idea to insure it for its real estate value, i.e., what you could sell it for today. Imagine if your home burnt down – the cost to rebuild it could exceed its market value. But how do you know how much it might cost to rebuild? This is where the expertise of your insurer can come in handy. They should be able to advise you on what amount to insure for.

Neglecting home maintenance

It’s important to keep up with home maintenance because if you have an incident caused by a lack of maintenance, your homeowners insurance won’t pay out. Here’s an example: If your gutters collapse because they haven’t been cleaned in five years, you won’t be able to claim for this. However, if your gutters are cleaned regularly but a big storm takes them out, you can claim. 

Assuming everything is covered

Just like any type of insurance, homeowners insurance doesn’t cover every single building and structure on your property. For example, did you know that many insurers don’t automatically cover fire damage to a thatch roof? This is something you might have to specifically ask for when getting a homeowners insurance quote. Likewise, some immovable property, like boreholes and swimming pool equipment, need to be insured separately under a portable possessions insurance policy. Some insurers include many kinds of unforeseen natural events, like fire, flood, and earthquakes, but don’t cover damage caused by civil unrest.

The best way to be aware of your cover is to read your insurance policy and schedule carefully and ask your insurer if you have any questions about your cover.

Taking the first homeowners insurance quote

When you buy a home with a bond, most banks require you to have buildings insurance to protect such a valuable asset. You’ll often automatically get a homeowners insurance quote. However, you’re not obliged to accept this quote. You can take out buildings cover with any insurer you choose. In fact, by comparing quotes, you can often save a lot of money. So don’t simply say yes to the first homeowners insurance quote you get.

Homeowners Insurance quotes

Having the right buildings insurance is easy when you take out cover with 1st for Women. We offer Homeowners Insurance quotes specifically designed for women, so you have peace of mind knowing your precious home will be covered for a wide range of unforeseen events. Get a Homeowners Insurance quote online in your own time or call us on 0861 11 16 67 to speak to a knowledgeable consultant.