A helpful home insurance checklist
Home insurance is a policy that covers you financially if your building or contents are lost or damaged after an insured event.
“Fire or water damage are common insurance claims in the home which can be triggered by severe weather or accidents in the kitchen, but also from everyday appliances like a washing machine, leaky air conditioners or heaters,” says QBE National Householders Product Manager, Angelo Colosimo.
With so many variables at play, it’s often hard to grasp an understanding of the exact coverage you need in case you experience loss or damage.
Research shows the majority (81 per cent) of homeowners and renters in Australia are exposed to significant loss because their insurance doesn’t cover them to resume the same standard of living if a crisis happens1.
Here’s a home insurance checklist of considerations to help steer you in the right direction.
The home insurance checklist
- Could you afford to rebuild or replace your home without insurance?
- Do you live in a location that may be at risk of events such as bushfire or flooding?
- Can you bundle your home insurance with your contents?
- Are you comfortable with the ‘Listed Events’ or ‘Defined Events’ outlined in the Product Disclosure Statement (PDS)?
- Should you opt for cover up to a certain limit or total replacement to protect your home?
- Have you estimated the value of your home? Use this online calculator as a guide
- Have you considered the total costs of rebuilding including fixtures or fittings like lights and flooring?
- Will your insurance policy cover structural additions or renovations such as a swimming pool or deck?
- If you need to rebuild or repair your home, have you factored in extra costs such as debris removal or demolition and temporary accommodation?
- How will you pay your premium to your insurance company? Monthly or annually?
1Understand Home Insurance Research Report. Prepared by Quantum Market Research for the Insurance Council of Australia. August 2014