The Macquarie Dictionary defines “buy insurance” as: to protect oneself against a possible future set-back. To lose your home is one of the greatest set-backs we can experience, making home insurance one of the most vital forms of protection.
Components of Home Insurance
Along with the standard theft and damage, storm and rain damage, lightening, earthquake, fire and explosion, etcetera, most companies now offer cheap home insurance with a range of extras. These extras will vary between insurance companies and can include:
- New for old replacement
- Up to $20 million for legal liability
- Removal of debris and the provision of temporary accommodation while the home is put back in order
- Cover for contents outside the home and fixtures such as fences, pergolas and pathways
- Set cover for credit cards
- Funeral expenses, and more
Levels of cover can include home insurance only, home contents insurance, or contents only, often taken out by those renting a home.
Choice of monthly or annual premium payments at no extra cost and variable excess options to allow premium flexibility frequently come as standard and all policies should come with a 21-day money-back cooling off period, providing no claim has been made in that time, and should be offered as ‘no questions asked’.
Home Loan Insurance
Home loan insurance, or Mortgage Discharge, is a critical component to look for as standard to ensure ongoing loan repayments can be made in the event of sickness, injury and the like. This cover may come with conditions and all documents should be thoroughly understood.
Comparing Insurance Companies
Home owners should find out about and compare the various house insurance companies and feel comfortable with choosing either online or personalised over-the-phone quotations. Feeling a sense of trust and knowing the company will treat you as a valued customer is essential in the event of fire, damage or theft and in making a claim.
Asking friends and contacts and going online to research a company are good starting points. Type in home insurance Australia or a similar term to start your search.
Source phone numbers from Contact Us pages and phone the Customer Service teams to get a feel for the people behind the web site. Anything that happens to your home is intensely personal and home owners need to be confident whichever company is looking after their home insurance understands the importance of personal service.
