Household insurance
Contents insurance
Contents insurance provides protection for your belongings
inside the home - and sometimes outside too. Although there
are slight differences in the way it works, its main purpose
is to cover all or part of the cost of replacing your possessions
should they be damaged, destroyed or stolen.
The contents of your home will usually include anything
that is not a fixed part of your home - any personal artefacts,
computer systems, camera, TV, HI FI and other appliances,
clothes, jewellery, furniture, fittings, and even the contents
of your fridge and freezer.
Your contents insurance may well include some element
of cover for items that you take away from the home. This
usually includes bicycles or prams, though some policies
even cover the contents of your handbag should it get stolen.
Other things that your policy may cover include accidental
damage and any legal expenses you may incur whilst pursuing
or defending any personal liability claims.
As with your buildings policy, the insurer will ask you
a host of questions to determine your premium. They will
ask about:
Your occupancy at the property. Whether you are there in
the daytime or out of the country for six months at a time
can have a big impact on the cost of your policy.
Make sure you disclose everything that is asked of you. Answer
all questions to the best of your knowledge. Failure to do
so is called nondisclosure and will nullify your policy in
the event of a claim. Insurance companies are businesses not
charities and will generally try to legitimately minimise
the amount of money they pay out. One of the ways they do
this is by checking all the details you disclosed when you
took out the policy. If you falsified the information that
you gave them, they have the right not to compensate you for
your losses.
